To: Joe S Pack who wrote (23930 ) 6/24/1999 11:11:00 PM From: DOUG H Read Replies (2) | Respond to of 41369
COLLATERAL DAMAGE AT THE MS TRIAL? The deal also could have ramifications for the antitrust lawsuit the government and 19 states have brought against Microsoft. It would be the second time the government's case was dented by the actions of a company whose representatives have testified on behalf of the government's case. In the early stages of the trial, weeks after former Netscape CEO James Barksdale was the lead-off witness for the government, AOL announced it would buy Netscape, potentially changing the competitive landscape of the industry. Microsoft claimed the deal proved its longstanding point that the industry is too dynamic and fraught with competition to be reined in by antiquated antitrust laws. Judge Thomas Penfield Jackson, who is overseeing the antitrust case, was moved to comment on how the deal might change things and allowed Microsoft to mine the documents underlying the deal, which were then presented during the case. The deal with Microworkz would deliver a second blow to the government's case. Microsoft's chief economic witness has testified that the company faces competition from the very sort of PC device envisioned in this potential deal; government lawyers have downplayed the notion, saying that Windows-based PCs are "here to stay for the foreseeable future." Microsoft's economic witness also testified that Microsoft can't be defined as having a monopoly because it faces a variety of "platform threats." A potential "AOL PC" would fit snugly with the Microsoft economist's theory. Brock Meeks contributed to this story. Nat,, It is a testament to the pace of change in technology that so much has changed since the original suit was filed. Redhat/Linux is talking about spanking MSFT in the market place, they don't feel dominated. The above deal puts more wood to the governments claims. Besides MSFT is shifting their business model to go after more than software/PC . The government should go home. The issues are irrelavant today.