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| Posted By | Discussion Topic: Bush Administration no longer interested in breaking up Microsoft | ||||
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| TeenWeek what's a status? | posted on 09-06-2001 @ 2:22 PM |    | |||
| O&A Board Regular Registered: Oct. 00  | Reversing a Clinton-era legal strategy, the Bush administration announced Thursday it will no longer seek the breakup of Microsoft and wants to end the historic antitrust case against the software maker as quickly as possible. The Justice Department, however, indicated it will seek penalties first suggested by a judge earlier in the case that could affect or delay the company's soon-to-be-released Windows XP operating system. That news sent Microsoft's stock dropping on Wall Street, where investors have been eagerly awaiting the release of the company's new operating system in hopes it would reinvigorate the stagnant technology sector. At midday Microsoft's stock was down 75 cents to $56.99 a share. "The department is seeking to streamline the case with the goal of securing an effective remedy as quickly as possible," the Justice Department said. Microsoft, which has long resisted a breakup, reacted cautiously to the announcement. "We remain committed to resolving the remaining issues in the case," spokesman Vivek Varma said. The Bush Justice Department said it was dropping two key elements of the Clinton-era case against Microsoft for fear they would lengthen court proceedings and hurt consumers. The department said it "is taking these steps in an effort to obtain prompt, effective and certain relief for consumers." Justice said it would no longer seek to break Microsoft into two companies — one for its Windows operating system and the other for its other business and home software — as U.S. District Court Judge Thomas Penfield Jackson once ordered in the case. That order was eventually reversed by an appeals court, and a new judge was appointed to consider a new penalty. The department also said it would not pursue allegations the company had illegally combined a previously separate product — a strategy known as tying or bundling — in an effort to hurt competitors. Both decisions were victories for Microsoft, which has waged a costly four-year battle to dispute those allegations and has continued to build more features into its products. But the Justice Department said it would seek to stop Microsoft from making certain exclusive deals with partners, forcing computer manufacturers to keep specific icons and programs on the Windows desktop, and other requirements. Those restrictions were also imposed by Jackson, but immediately rescinded when Microsoft appealed the case. Jackson's penalties also included a prohibition on tying, which would presumably not be included in the new penalties sought by the government. Howard University law professor Andy Gavil said the restrictions could have a large impact on Windows XP, which has been completed by programmers but won't reach stores until October. Microsoft has given computer manufacturers more latitude in icon placement than in previous versions of Windows, but Microsoft still requires that certain Microsoft icons appear on users' screens. "It's hard to square the interim remedy with Windows XP," Gavil said. "All of these little things really have to do with how XP is being prepared and marketed." Gavil said the Justice Department's action means the case could move more quickly and is more palatable to Bush appointees. "Rather than fight the battle over breakup, get down to the brass tacks over how we can change their conduct now in a way that will preserve some competition in the marketplace," he said. "It is probably more philosophically agreeable to the administration." A senior White House official, speaking on condition of anonymity, said Bush has been briefed regularly about the Microsoft case by his counsel, Al Gonzales, but had not directed the Justice Department to take any action in the case. The official said Bush went out of his way to leave the matter in Ashcroft's hands. During the presidential campaign Bush told associates privately that he had doubts about the Clinton administration's position on the Microsoft case. Iowa Attorney General Tom Miller, who has been one of the leaders in 19 states' suit against Microsoft, said in a statement that he agrees with the current strategy. "Since the Court of Appeals decision, the states and DOJ have directed their efforts to one objective — the quickest and most effective remedy possible," Miller said. "This decision is consistent with that objective."  | ||||
| ThatTerribleAwfulNegro | posted on 09-06-2001 @ 2:59 PM | | |||
| Psychopath Registered: Oct. 00 | Well Half of a HUUUURRRRRAAHHHHHHH for the government 1/2 coming to its senses... but they should just drop the WHOLE thing. I've NEVER seen a government ANYWHERE more intent on destroying & cannibalizing it's own native industries/businesses. first of all, in any other country when you have a native business bloom inside your own borders-you do EVERYTHING you can to HELP it CONTINUE to bloom- not ATTACK it when it get's TOO big! duh! The governments break-up of ATT in 1984 did NOT help the american economy -believe me- it hurt it in ways the average american consumer will NEVER know! Microsoft is now an integral part of the American Economy. say what you will about bill gates- he made 1/3 of his workforce MILLIONAIRES!!! I'll repeat that-he made 1/3 of his workforce MILLIONAIRES!! when I was a kid growing up in NY -I was able to get relatively GREAT jobs while going to school simply working Microsoft WORD & EXCEL (& LOTUSI,II,III-but that isn't Microsoft). To sum up: LEAVE MICROSOFT THE HELL ALONE! I wish this government would stop eating it's own!Leave NAPSTER..ALONE!! LEAVE MICROSOFT..ALONE! Damn.  quote: | ||||
| NASA | posted on 09-06-2001 @ 3:13 PM | | |||
| Psychopath Registered: Sep. 01 | Breaking up a company that can provide very innovative products in the future would be a bad idea, and it's a good thing it won't happen. The problem with Micro$ost is it's unfair business practices and monopolistic practices, which should be stopped. | ||||
| skitchr4u G.O.O.F.B.A.H.G.S. Xtreme Skiing Assualt Force | posted on 09-06-2001 @ 3:16 PM | | |||
| O&A Board Regular Registered: Dec. 00 | ttan, well said. give microsoft a break...bill gates creates a system that works, so we have to kill him and his company when they branch out and start to make more good stuff...gotta love government AIM: SkiT4you First Member of the JWO Kindest regards to Grumpy for the sigpic | ||||
| adolescentmasturbator | posted on 09-06-2001 @ 6:17 PM | | |||
| O&A Board Regular Registered: Jan. 01 | The problem is M$ is that they are very greedy. So they rely on abusing their monopoly power. Microsoft didn't win the browser war because it had a better browser but because it bundled it with the OS. This is unfair to other people with businesses. Innovation becomes stifled this way. Compare it to the video games industry. Now I can't really afford to have every console but it is a good thing there are so many different consoles. This leads to competition. Competition leads to innovation. It's funny how Microsoft sues schools because it doesn't give them enough money. That's your tax school dollars going to MS. MS looks at education as a marketplace. MS should be split up into 3 companies. This is the only way it's going to stop. They keep bundling their products with the OS and until it's broken up it won't stop.  Resident Board Socialist Email me here or IM me at stickysituation2 or pinkorag Webmaster of the Undergound Unofficial I Hate WhackBagKid Message Board I currently have brought no one into the International | ||||
| JackDan1974 | posted on 09-06-2001 @ 7:17 PM | | |||
| O&A Board Regular Registered: Jul. 01 | Leave Microsoft alone, and stop the Compaq HP merger so that I can keep my job This message was edited by JackDan1974 on 9-6-01 @ 7:25 PM | ||||
Displaying 1-6 of 6 messages in this thread. |