After a raid on its offices in Japan, Intel agreed to work with Japan's Fair Trade Commission (JFTC), which accused Intel of offering rebates to five Japanese PC makers--Fujitsu, Hitachi, NEC, Sony and Toshiba--in exchange for refusing to buy or to limit their purchases of chips made by AMD and Transmeta. Intel CEO Otellini says we have not done any of those things.....

AMD filed a lawsuit against Intel Monday in U.S. District Court in Delaware. The rival chipmaker claims that Intel is using monopolistic business practices, such as threatening retaliation against customers who do business with AMD. AMD is asking the court to impose punitive damages.