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Technology Stocks : How high will Microsoft fly?
MSFT 480.82+0.6%3:59 PM EST

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To: Duane L. Olson who wrote (33537)11/9/1999 8:01:00 PM
From: Alan Buckley  Read Replies (2) of 74651
 
[how would it help Microsoft if "the industry changes".]

The anti-trust laws were intended to prevent companies with exclusive advantages from gouging captive consumers rather than improving their products and services. It's make *no* sense to apply these laws in fast changing industries where the rules are constantly changing.

The higher courts will note that MSFT is threatened with sea changes every year that prevent profits without product improvement, indeed that the playing field is entirely different from when the DOJ filed their suit. They will further notice that consumers are paying less for more than when the suit was filed. The conclusion is that no anti-trust remedy is necessary.

In the Win95/brower integration appeal a judge asked the DOJ lawyers (paraphrased) "why is separating these products a benefit to the consumer?". There was no good answer and MSFT got a favorable ruling. At this appeal we will see questions like "MSFT is offering consumers improved internet capabilities every year for basically the same cost. The surrounding industry is booming. How does this harm consumers?"
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