Dr Watson slowing computer, why is it so active

Recently Dr. Watson has been running often, apparently logging stuff, and that ties up my computer. I have run several scans for malware, defragged, cleaned registry and shortcuts. The Watson log is nearly 280 MB, but I don't understand its content.

I'm on dial-up, running Gateway GT4016 WinXP Media Center, with dotNet Framework thru 3.5 _ nearly fully updated (not yet the recent 248 meg rollup till i get it on CD from a relative). AMD Athlon 64 3700+ (32-bit machine, 2.2 GHz), 1 gig RAM, 200 gig HD, about 70% still free.

There are about 65 processes running, but most can't be shutdown, best I can tell.

Variously using free versions of Ad-Aware, a-square, Spyware Sweeper, ThreatFire, Comodo Firewall, and AVG Anti-Virus, Spybot S&D, SpywareBlaster - all up to date as of Monday. (Not running them all at the same time, of course.) Have run ScanDisk and a few other MS things.

Sooo, why is Watson still sporadically going nuts, and computer stalling and slow? Kinda hate to just disable Watson since it must be trying to tell me something. Thanks in advance for help.