Healthy competition among businesses is crucial for market sustainability. The lawsuit involving Intel Corp. and Advanced Micro Devices (AMD) illustrates the importance of this principle as the two companies sought legal help to ensure that they were being given a fair chance to compete in the market. Intel and AMD are both renowned names in the field of manufacturing microprocessor chips for personal computers. Intel has enormous 70% share in the micro-chip market while AMD (info.com), though the second largest manufacturer holds only 20% of market foothold. These two companies have over the years gained so much experience and technical expertise that it enables them to dominate the market without encountering any competition from potential manufacturers who are faced with significant barriers to entry. (Mackenzie 225)
AMD filed a lawsuit against Intel, stating that the latter had established its monopoly in the microprocessor market which was detrimental to competition and prevented AMD from doing business with computer companies. A history of Intel’s previous lawsuits indicates that the AMD accusation is not new in this regard (AMD-Intel Litigation history, 2007).