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SCIENCE/TECHNOLOGY : Davin Computer Sues IBM for $250 Million, Says Designs Taken

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Compiled by Dean Takahashi / Times staff writer

David H. Methvin has a bone to pick with International Business Machines Corp.

His company, Davin Computer Corp. in Irvine, is suing the computer giant for $250 million for allegedly misappropriating Davin’s designs for a computer, violating confidentiality agreements and dealing in bad faith.

The suit, filed Nov. 19 in federal court in Santa Ana, alleges that IBM stole Davin’s patented technology known as parallel byte processing, which would allow a high-speed personal computer to process from 2.5 times to eight times more data simultaneously.

“We were led to believe they would license the technology to bring out a line of desktop computers, but they slammed the door on us,” said Methvin, who has been trying to bring the technology to market for about five years.

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IBM officials declined to comment on the suit on Monday.

Methvin, who in the 1960s founded one of Orange County’s earliest minicomputer companies, Computer Automation, said Monday that he began working with IBM in March, 1990, disclosing Davin’s confidential information regarding the parallel byte processing.

IBM allegedly forced Davin to share the technology with Intel Corp. and is planning to issue a line of products based on the technology, Methvin said. He said he tried to negotiate an out-of-court settlement for several months but decided instead to file the lawsuit in November.

Davin, which reported no sales and spent $804,000 on development for the fiscal year ended March 31, 1991, has been trying to market the new technology through its own line of computers. But Methvin said the company’s strategy was to market the new line using royalty income from IBM.

“We waltzed around with them for about a year, but when they slammed the door we had to pull back on our marketing,” Methvin said.

The company plans to launch additional claims against IBM upon approval of another patent, Methvin said.

Although he acknowledges that Davin is struggling financially, Methvin said he believes that the company can afford to fight IBM in court.

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