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Intel now faces US competition probe

New York state Attorney General Andrew Cuomo has announced a competition probe into computer chip giant Intel. The investigation will look at possible illegal actions that hurt Intel's main rival, Advanced Micro Devices.

The probe focuses on whether Intel was 'coercing customers' to exclude AMD from the  worldwide market for x86 computer chips.

'After careful preliminary review, we have determined that  questions raised about Intel's potential anti-competitive conduct warrant a full and factual investigation,' said Cuomo.

A subpoena is seeking documents and information concerning Intel's pricing practices and possible attempt to exclude competitors through its market domination. The EU's top competition watchdog has launched a similar probe.

The EU Commission accuses Intel of offering 'substantial' rebates to computer makers that mostly used its chips, making payments to clients to delay or cancel products using AMD's chips,  and selling its chips at below cost in some cases.