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To: Gerald R. Lampton who wrote (23664)11/23/1999 11:29:00 AM
From: Daniel Schuh  Read Replies (1) | Respond to of 24154
 
Well, shoot, that takes us back to Brian Arthur, network economics, increasing returns and all that jazz, the arguments cut both ways. Or is this the classical "Chicago School" natural monopoly?

Anyway, I've never advocated "structural remedies". The one thing that crosses my mind that actually might do some good would be to split Win9x and NT into different companies, so that somebody would actually have some incentive to make Win9X work decently. I'd hold my breath even less on that one than any of the existing proposals, though.

Cheers, Dan.



To: Gerald R. Lampton who wrote (23664)11/23/1999 1:59:00 PM
From: Bearded One  Read Replies (2) | Respond to of 24154
 
This weeks Economist has a wonderful summary of how Jackson's findings have turned the 'natural monopoly' argument back at itself.

If Microsoft has a natural monopoly, then it is not efficient to compete against it. Almost by definition, if something comes along and knocks off a natural monopoly, then the monopoly is no longer 'natural.'

Microsoft took actions against companies which presented threats to its monopoly. Those actions were predatory and simultaneously showed that even if Microsoft's monopoly was 'natural' at one point, it was no longer so.