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Technology Stocks : How high will Microsoft fly?
MSFT 486.83-1.1%Dec 1 3:59 PM EST

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To: freeus who wrote (7027)5/13/1998 1:03:00 PM
From: Ramsey Su  Read Replies (2) of 74651
 
freeus,

is this the famous freeus of the "freeus effect" on the NXTL thread? I guess I must be forgiven.

Let me give you an example. Assume there is a coffee chain so dominant that they have a coffee shop on 92% of the street corners in the world. Someone has a good idea and decided to start opening donut shops while another entrepreneur started opening bagel shops. The big coffee chain decided that these are absolutely stupid ideas and would have nothing to do with it. A few months later, the donuts and bagels are selling like hotcakes. Now the big chain said we better start selling donuts and bagels also. Unfortunately, their donuts and bagels are so crummy that no one wants them. So the big chain decided to raise the coffee prices but they will throw in a free donut and bagel with each cup of coffee. Now why would anyone go to get a cup of coffee, then walk over to PAY for a donut when they can get one for free. In no time, the donut and bagel shops go out of business.

A few months later, someone has this idea about selling muffins. The big coffee chain thinks that is a stupid idea. Muffins started selling and .........

Monopolies threaten the free world. Unchecked, we will be no different from Indonesia, where all the rice is controlled by Bob Suharto, all the timber is controlled by Susie Suharto, all the oil is controlled by Johnny Suharto .......

I am not a techie so I may be wrong on MSFT's record on innovation. Is there anything that MSFT innovated? Everyone talks about MSFT's contribution to technology but ignored to envision where the high tech world could be without MSFT's strangle hold.

If ATT was not broken up, we will still be using that one-design phone. NTT is a great example on how much that monopoly has held back Japan's progress in the telecomm world.

Just my 2 cents.

Ramsey
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