DoJ looks into allegations of MS strong-arm tactics

Microsoft has been accused of putting pressure on chip giant Intel to prevent it from developing software at its architecture laboratory.

According to reports, the US Department of Justice (DoJ) is investigating whether the software giant increased pressure on Intel during by threatening to support its rivals, including AMD.

The DoJ now has copies of internal memoranda and other material. Andy Grove, chief executive of Intel, has given a deposition to investigators.

Intel confirmed it has supplied memos of meetings it had with Microsoft.

The DoJ is expected these documents to use as part of its depositions against the software vendor.

Animosity grew between Andy Grove and Bill Gates, chief executive of Microsoft, three years ago when the software giant was making plans to develop a graphics processor codenamed Talisman, which attracted the chip maker's fury.

An Intel memo stated: 'Gates made vague threats about support for other platforms and, on the same day, he announced a programme to support Digital's Alpha microprocessor, an Intel rival. Gates was livid about Intel Architecture Labs (IAL) investments in the Net and he wanted them stopped.'

It added: 'He didn't want IAL's engineers interfering with his plans for domination of the PC industry.'

Intel is also under investigation by the DoJ over its purchase of Chips & Technologies last year.

Meanwhile, emails that constitute part of a court case against Microsoft started two years ago by software company Caldera, have now been made public.

They revealed that senior Microsoft staff discussed ideas to incorporate code into Windows that would make competitors' software run poorly and crash.

But Microsoft claimed this was a single email taken out of context and was not company policy.