$500 Million Patent Infringement Lawsuit Against Intel Corporation

@ 2004/05/20
ALEXANDRIA, Va., May 20, 2004 (BUSINESS WIRE) -- All Computers Inc. announced that it filed suit today against Intel Corporation in Alexandria Federal Court. The complaint alleges that Intel Corporation (INTC) manufactured, used, sold and offered for sale certain computer products, including its line of "Pentium Processors," without right or license from All Computers Inc. and in infringement of Plaintiff's United States Patent Number 5,506,981. All Computers Inc. (www.allcomputersinc.com) seeks more than $500 million in compensatory damages and a permanent injunction against Intel Corporation. Plaintiff is represented by Edward F. O'Connor and William E. Levin with the Laguna Beach, CA. law firm of Levin & O'Connor. All Computers Inc. vs. Intel Corporation, Case No. 1:04CV586.

A Toronto, Canada corporation, All Computers Inc. designs and sells computer parts and circuitry. It was founded in 1971 by Mers Kutt, age 71, who is noted for introducing the world's first personal computer, the MCM-70, in 1973. The company owns (by assignment) United States Patent Number 5,506,981, which issued on April 9, 1996 and which is titled "Apparatus and Methods for Enhancing the Performance of Personal Computers" (the '981 patent).

The '981 patent is a pioneer patent which describes and claims the basic circuitry necessary for the operation of high speed microprocessors, such as the "Pentium Processors" in the modern circuit board environment. The '981 patent teaches the circuitry utilized to control the frequency of the electrical input to such high speed microprocessors.

All Computers Inc. had contacted Intel Corporation and offered to license the '981 patent. Defendant ignored the offer, and has since manufactured, used, sold and offered for sale its various computer products without license and in infringement of Plaintiff's '981 patent, including its line of "Pentium Processors."

"Intel Corporation has certainly had an impact as the largest computer microprocessor supplier in the world," said Edward F. O'Connor, "but it is not the only company to make major contributions to the constantly evolving technology industry. It violated All Computer Inc.'s rights as a patent holder by utilizing the claimed circuitry for determining the frequency of the input signal to the microprocessor in certain of the Pentium Processors. This lawsuit is the only way to compel Intel to be accountable for its actions, and we are proud to stand behind Mers Kutt and to see to it that All Computers Inc. has its day in court."

Editor's Note: A copy of the complaint can be found at www.levin-oconnor.com.

All Computers, Inc. is represented by Edward F. O'Connor and William E. Levin with Levin & O'Connor, Laguna Beach, CA. Tel: 949-497-7676.

F. Thomas Dunlap, Jr. is vice president/general counsel for Intel Corporation, Santa Clara, CA. Tel: 408-765-1125.

SOURCE: Levin & O'Connor

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