AMD files suit against Intel - Silicon Valley / San Jose Business Journal:

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The suit, filed Monday in U.S. District Court in alleges Intel coerced 38 companies into usingits microprocessor. These companies includre large scalecomputer manufacturers, such as Round Rock, Texas-baserd , small system-builders, wholesale distributors and retailers. The suit alleges that Intell brokethe country's anti-trust laws by offering discountse to Japanese computer manufacturers on the condition that they limitr their business with rival chip makers. Sunnyvale-based AMD also alleges that Intel forces computer makers into exclusively using Intep chips in return forcash payments. In the lawsuit, AMD asks for a jury tria and unspecified monetary damages to be determinedat trial.
In addition, AMD asks for the courtg to issue an injunction agains t certain practicesby Intel. Intel processors run aboug 80 percent ofthe world'es computers. A spokesman from Santa Clara-based Intel INTC) told the New York Times today that the companuy was still reviewing the lawsuiy and would have noimmediate "Intel maintains illegal monopoly profits at the expens of consumers and computer manufacturers, whose margins are razor thin. Now is the time for consumers and the industrg worldwide to break free from the abusivrIntel monopoly," said Thomas McCoy, AMD executive vice legal affairs and chief administrative officer, in a statement.
The suit goes on to say that high-leve executives of major corporations, such as and , were threatenedc if they used AMD's Athlon 64 server The suit saidMichael Capellas, who was CEO of Compaw at the time, said in 2000 that becausr of the volume of business given to AMD, Intel withheld delivery of critical serve chips. Saying "he had a gun to his Capellas told AMD he had to stop buyintgAMD chips. The suit adds that Acer chairman Stan Shih was threatenexdwith "severe consequences" for supportinv the AMD Athlon 64 Acer withdrew from the AMD producf launch in September 2003.
The two chip companiesx have been duking it out ever sincethe mid-1990s, when AMD won the rightr to make x86 chips of its own The lawsuit follows a March ruling by the Fair Tradew Commission of Japan rulingt that Intel had violated the country's anti-trusyt laws. The European commission is also pursuing an investigatioj against Intel for similar possibleeantitrust violations. Recently, Apple said that it would switch from using IBM microprocessorswto Intel's beginning in 2006. Intel x86 microprocessors run the Solaris and Linuxoperating systems.