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Technology Stocks : How high will Microsoft fly?
MSFT 477.74-2.5%Dec 3 3:59 PM EST

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To: Al Bearse who wrote ()4/28/2000 9:45:00 PM
From: djia101362  Read Replies (2) of 74651
 
I think this is the best remedy that MSFT shareholder could have hoped for. I think if MSFT came out and said let's do it and do it fast, MSFT stock would be back to $100 in a jiffy.

Splitting up MSFT along horizontally does absolutely nothing, all it does is create 2 monopolies that essentially could go right back to their anti-competitive practices.

If the DOJ had half a brain they would have sought a vertical split up creating 2 identical companies. Apparently the DOJ must have been thinking somewhat because a vertical breakup would create chaos and uncertainty. I don't think 50% of the world want's to learn a new operating system.

I think the DOJ was between a rock and a hard place. They knew what the right remedy was but could not recommend it because of the adverse consequences it would have on world economies. The DOJ couldn't just drop it after getting this far so they opt for the horizontal breakup that it if ever does happen, will make matters worse for MSFT competitors.

Can you imagine companies like SUWN and ORCL saying now look what we've done. They probably would prefer MSFT stay together at this point.

As long as MSFT doesn't have to give up any intellectual property, they cannot lose no matter how it ends up.
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