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Technology Stocks : How high will Microsoft fly?
MSFT 478.53-1.0%Dec 12 9:30 AM EST

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To: Yaacov who wrote (44738)5/12/2000 5:16:00 PM
From: Jacob Snyder  Read Replies (2) of 74651
 
re: Does Bill Gate and his legal team think that they have a chance to win or get a better deal by pro.longing this fight?

I think they are still in massive Denial, still at the stage of shouting "We did nothing wrong, leave us alone!". In spite of all their skills in other areas, dealing with this new situation requires a skill set they don't have, and they are handling it very badly. Their response has, so far, been counter-productive, giving them results worse than anyone (12 months ago) thought could happen. No one was talking breakup 12 months ago.

MSFT's offer in DOA, it's hard to imagine them thinking anyone will take it seriously. But, as I said, they are in massive Denial, so they may be hoping.

At some point, it will become impossible for them to ignore reality any longer, and their confidence will abruptly crack. When, I have no idea. But the pressure will steadily increase, until it does. Then, they will sit down and deal.

The important part is the restrictions that will be imposed on their conduct while the appeals process grinds on. The breakup is years away, and theoretical. The restrictions are going to be imposed this year. Before the "next round."
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