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>x86 is also proprietary technology that Intel is currently making money on. Should Intel be able to sue AMD out of existence?

AMD has a license to the x86 architecture, alongside Via (though I'm not sure if they even make x86 chips anymore). I'm sure Intel would love to take back AMD's license, but they're probably too afraid of antitrust actions to try.

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Intel won't revoke AMD's license, because they themselves are licensing the 64-bit architecture from AMD. It's called amd64 for a reason.

Yep. It's a great example of how keeping clean-room reverse engineering legal is good for the industry. While Intel was stuck in Itanium hell, AMD was able to leapfrog them and create x86-64 because it had been legally successful with reverse engineering 32-bit x86 in the past. If Intel had been able to crush AMD in the 90s, there's a good chance x86 would be dead by now.

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