Yup, the State AG's are running for the hills - NOT!
Antitrust defection not expected to cause a ripple
By Michael Moeller, PC Week Online and Charles Cooper, ZDNN December 7, 1998 5:49 PM ET
South Carolina appears to be a lone wolf in its decision to pull out of the coalition of states taking on Microsoft Corp. (MSFT) in their landmark antitrust case.
Attorneys General in Minnesota, Wisconsin and Iowa said Monday afternoon they are committed to participating in the trial and have no plans to back down. Earlier today, South Carolina Attorney General Charles Condon cited the proposed merger of America Online Inc. and Netscape Communications Corp. as the reason for getting out of the fight, claiming that the union shows there is competition in the Internet marketplace.
However, sources at other states said the merger has nothing to do with the operating system market and Microsoft's monopoly power -- the focus of the current case.
Other sources said South Carolina has not participated much in the preparation or execution of the lawsuit and has had little communication with the other states thus far.
The official responsible for quarterbacking the states' participation in the case said he doesn't expect other states to drop out.
"It's full-speed ahead," said Iowa Attorney General Tom Miller, adding that South Carolina's decision will not affect the current case "in any way, shape or form."
Miller said a defection would have been more significant had the government been losing.
"But the case has gone strong for us so far," he said. "The trial is focused on alleged unlawful conduct. And that remains a very important part of the case."
Kevin O'Connor, assistant Attorney General for Wisconsin, added that the trial has been going well from the government's point of view.
"We're pleased with how things are going thus far,' O'Connor said.
Holly Zimmer, a spokeswoman with Minnesota's Attorney General office, added, "We still believe there have been violations of law, and we're presenting cases of law in Washington."
"I think it's mainly a modest public relations victory for Microsoft outside the courtroom," said Bill Kovacic, a law professor at George Washington University in Washington. "To an extent, it may be a little bit demoralizing for the plaintiffs, but it's not going to affect [U.S. District Court Judge] Thomas Penfield Jackson's resolution." |