US computer chip giant Intel used illegal tactics which stopped consumers getting better products and lower prices, it has been alleged.
The company has been accused of using "bribery and coercion" to keep a "stranglehold" on the microprocessor market.
The claims are made in an antitrust lawsuit filed by New York's Attorney General Andrew Cuomo.
He says Intel's actions unfairly restricted competitors and also "hurt average consumers who were robbed of better products
and lower prices."
He said the company got exclusive agreements from large computer makers to use Intel's microprocessors in exchange for payments totalling billions of dollars.
Intel violated state and federal anti-monopoly laws by taking part in "a worldwide, systematic campaign of illegal conduct" in an attempt to keep a monopoly in the market, Mr Cuomo added.
The California-based company is also alleged to have punished computer makers seen to be working too closely with its competitors.
Threats apparently included cutting off payments from Intel, funding competitors, and ending joint development ventures.
The lawsuit is the latest legal challenge for Intel, which is already being investigated by the US Federal Trade Commission.
It is also being sued by its main rival Advanced Micro Devices (AMD) in a case expected to go to trial next year.
EU anti-trust regulators fined Intel a record 1.06bn euros (£949bn) in May.
They claimed the company abused its stranglehold on the semiconductor market to crush AMD.
Intel denied the charges and has appealed the EU ruling.
Company spokesman Chuck Molloy also rejected the latest allegations, saying: "We disagree with the New York attorney general.
"Neither consumers, who have consistently benefited from lower prices and innovation, nor justice are being served by a decision to file a case now. Intel will defend itself."
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