Software giant adds to defense with new filing in government antitrust case.
Published:
23 May 2000 y., Tuesday
In an unexpected court filing Monday, Microsoft Corp. tried to use the government's own words against it as justification for not breaking up the company. In a filing with the U.S. District Court for the District of Columbia, Microsoft repeated an earlier request that Judge Thomas Penfield Jackson, who is overseeing the antitrust proceeding, immediately dismiss the government's proposal to divide the company in two. In its argument against a breakup, Microsoft referred to an earlier case against the company that ended in a settlement and a consent decree, which the Justice Department alleges Microsoft later violated.
In its filing, Microsoft said that government attorneys admitted in the earlier case that a breakup of the company would be dangerous to the economy's welfare and against the public interest.
However, antitrust experts said that Microsoft was found to have engaged in a wide variety of anti-competitive conduct since 1995, making the company's legal position very different now than it was five years ago. Five years ago, various private-sector witnesses filed a memorandum with U.S. District Judge Stanley Sporkin saying that the court should require Microsoft to divest its applications businesses to create a "Chinese Wall" between the company's applications and operating system employees. In response, attorneys for the government said that "the law would not permit the sweeping remedies" that those witnesses suggested, and that "remedies such as dismembering Microsoft would act against the public interest." Microsoft's actions after the 1995 consent decree However, the case that the government filed against Microsoft in 1998 alleges that the company engaged in a wide range of anti-competitive conduct that wasn't at issue in 1995, including: seeking to divide the Web browser market with Netscape Communications and later attempting to snuff out Netscape; interfering with Intel's multimedia technology decisions; forcing Apple to accept Microsoft's Web browser under threat of losing Microsoft's Office suite of applications for the Macintosh; and imposing exclusionary deals on dozens of Internet service and content providers.
A government official told CNNfn that Microsoft's filing made Monday "relies on statements made by the government before Microsoft engaged in numerous illegal acts found by the court in the current case. The fact that Microsoft repeatedly violated the law after the proceedings demonstrates why structural relief is necessary to prevent antitrust violations in the future." Separately, Microsoft's filing states that "the government fails to identify a single case in which the court ordered the breakup of a unitary company such as Microsoft outside of the context of negotiated consent decrees." "In short, when it comes to the controlling case law, the government essentially punts -- there is no precedent for ordering the dismemberment of a unitary operating company." Microsoft's filing also said that Judge Jackson didn't conclude that Netscape's Navigator and Sun Microsystems' Java technology would have created competition in the market for PC operating systems, even if Microsoft hadn't engaged in anti-competitive behavior.
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
Software company announced new structure_ of it_s business.
more »
The Pakistan government claims India has shut down local Internet access in the troubled region of Kashmir and is policing Internet cafes in an effort to restrict communications between Pakistan and Kashmir.
more »
A US man is being sued for allegedly posting a misleading financial information on Yahoo's! Finance bulletin board last October.
more »
Reservations company hopes technology can help identify suspected terrorists
more »
As leasing increases, company boosts earnings by giving second life to used PCs, selling returned items on the Web or stripping them for their parts.
more »
Some stores ignore security, putting consumer funds at risk
more »
All Hong Kong's 6.8 million residents will be offered free digital IDs for use in secure online transactions when a new "smart" national identity card is introduced in mid-2003.
more »
Yahoo Japan Corp said Tuesday the news most frequently searched for this year on its Web portal site was about the Sept 11 terrorist attacks on New York and Washington.
more »
Online auction leader eBay has quietly ended its much publicized Auction for America, launched as a charitable mechanism to raise $100 million in 100 days for the families of those who died Sept. 11.
more »
This week's Cybershake outlines how tourists can take a virtual tour of the White House's holiday decorations
more »
search.lt presents newest links
more »