Discussed the MSFT situation today with a friend, and in response to MLV message #43891....
My friend made these remarks ...he is also the CEO of a small, 7 year old, several million dollar company, and knows just how hard it is to do that today....
KLP
again in response to the above message......
"It simply does not make sense for anyone to say, as you have, that MSFT hasn't created shareholder value. In fact, during the past 25 years, MSFT has grown shareholder value from $0 to a market cap of approx. one half a TRILLION dollars (pre DOJ). During this period, the company created a new industry, generated a payroll of more than 34,000 people at MSFT and created more than 10,000 multi-millionaires among its employment staff. In addition, it has spawned scores of startups throughout the industry, Its products have merited a degree of consumer allegiance that has provided the standardization necessary for the continued rapid development of the industry."
"Looking out of my knothole, I simply don't understand what possible consumer harm MSFT has visited on the marketplace that could in any way equal the DOJ driven loss in shareholder (i.e., consumer) value represented by it's recent stock price decline - a loss that substantially exceeds the total revenue generated by MSFT since its founding. Please explain that to me!!!"
"Further, I don't understand what criteria are used in your posting (i.e., "Blatant" disregard etc.) to suggest that the DOJ (Mr. Klein et al) has, in any way, developed an insight or track record in founding companies, industries or generating widely held wealth. Quite the contrary, it seems to me."
"Now, it is obvious to all reasonable people that there is a need for a final arbiter in situations where there is a clear and continuing violation of the use of power whether it be industrial or governmental. The rationale behind this case seems to be questionable at best. It does not meet any reasonable test to this end that I have been able to identify. I think it is useful to keep in mind that, at the end of the day, the only true monopoly out there is the government itself and it is subject to all kinds of pressures. Apparently, this is why the appeals court frequently finds itself in the position of reversing decisions made in the heat of the battle."
"One thing is quite evident from this entire affair. If you are right and SUNW is managed so much better than MSFT, it is just a matter of time before their market cap eclipse's MSFT and SUNW will have its opportunity to have its day in court under similar circumstances. The political class is on a role in attacking industry ( tobacco, guns, software, liquor next?, etc.). Please keep in mind that unfettered power knows no allegiance - particularly when it is in the hands of unaccountable bureaucrats." |
