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Technology Stocks : MSFT Internet Explorer vs. NSCP Navigator
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To: Gerald R. Lampton who wrote (22469)1/23/1999 4:39:00 AM
From: Daniel Schuh   of 24154
 
Microsoft and the Question of Monopoly nytimes.com

On a lighter note:

But Jackson cut in to ask if there could be sound business reasons that even a monopolist might charge less today "in search of larger glory at some later date."

To illustrate his point, the judge spoke of the hypothetical case of a cigarette company that might keep its prices low to hook generations of future smokers.

"There isn't any indication," Schmalensee replied, "that Windows is that kind of addiction."

Hah! I guess Smalensee wasn't briefed on Reggie's "drug dealer profit margin" analysis.

Jackson seemed unconvinced. "Do you have kids?" he asked Schmalensee.

Yes, the MIT dean replied, "but not all kids use Windows, your honor. Some use Macs," a reference to Apple Computer Inc.'s Macintosh machines, which run the Mac operating system.

I'm still not convinced. It's another one of these context things, Apple as competition to Microsoft is laughable, except on the antitrust front.

Cheers, Dan.
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