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Technology Stocks : How high will Microsoft fly?

MSFT 485.49

+1.8%

Nov 26 3:59 PM EST

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To: Dwight E. Karlsen who wrote (39919)	3/26/2000 9:18:00 PM
From: puborectalis	Read Replies (3) of 74651

Microsoft settlement hopes fade Judge Jackson is expected to rule on Tuesday The US Government is reported to have rejected a last-minute settlement in its anti-trust case against software giant Microsoft. Newspaper reports from Washington say officials are highly sceptical of the proposals from Microsoft - said to include a promise to separate its Windows operating system from its internet-browser software. Judge Thomas Penfield Jackson is expected to deliver his verdict on Tuesday unless the two sides make progress in the settlement talks. The judge has hinted that he will rule against the company, which stands accused of abusing its monopoly power over the computer industry by forcing Windows customers to use Microsoft software to connect with the internet. The Justice Department and Microsoft have declined to comment. Correspondents say the government has now retreated from plans to break up Microsoft if the company loses the case. Both sides have reasons to push for a settlement instead of waiting for a ruling by Judge Jackson. Late last year, the judge found that Microsoft used monopoly power to harm consumers, competitors and other companies. Most court watchers expect Judge Jackson to find that Microsoft is guilty of some anti-trust violations. If he does, he could force the company to change its behaviour or order the break up of the company. States soften stance Microsoft has vowed to fight a break-up, and has expressed a desire to settle the case. A ruling could also be used against the software giant in the more than 100 class-action lawsuits filed against it. The Justice Department has hinted that it might be open to broad restrictions on Microsoft's market behaviour instead of splitting the company. Some of the 19 states that joined the federal government in a suit have shown a willingness to soften their position, opening up some room for negotiation. By agreeing to a settlement, the department would avoid a lengthy legal battle with Microsoft in the appellate courts, and the agreement could take effect immediately. The department would also avoid the risk that Judge Jackson's ruling be overturned on appeal. Search BBC News Online Advanced search options BBC ONE TV NEWS WORLD NEWS SUMMARY See also: 14 Feb 00 \| Microsoft The Trial: Key Moments 22 Feb 00 \| Microsoft Judge hints at Microsoft break-up 22 Feb 00 \| Microsoft What's it all about? 14 Feb 00 \| Microsoft Microsoft: The charge sheet 14 Feb 00 \| Microsoft The Courtroom Despatches 16 Feb 00 \| Business Windows 2000: Special report 09 Feb 00 \| Business EU probes Windows 16 Feb 00 \| Business Microsoft 'may accept restrictions' 26 Jan 00 \| Business Court blow for Microsoft 13 Jan 00 \| Business Software giant 'faces split' Internet links: Microsoft US Justice Department - Anti-trust Division The BBC is not responsible for the content of external internet sites Links to other Microsoft stories are at the foot of the page.

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