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Technology Stocks : JDS Uniphase (JDSU) -- Ignore unavailable to you. Want to Upgrade?

To: pat mudge who wrote (5471)	1/28/2000 7:11:00 AM
From: Lee	Read Replies (1) \| Respond to of 24042

Hi Pat,..Re:.If the big guys still control 50% of the industry, would the FTC block it? It seems intuitive to me that a JDSU buyout of SDLI would create a monopoly in the components market. Although, the FTC says there are instances where a monopoly produces consumer advantages in the form of lower prices due to gained efficiencies, i.e. volume purchasing, etc, the guess is that a merger of the 2 mentioned would closely scrutinized. Some links for rested eyes.<g> ******************************************************************** Section 7 of the Clayton Act prohibits mergers and acquisitions where the effect "may be substantially to lessen competition, or to tend to create a monopoly." Determining whether a merger will have that effect requires a thorough economic evaluation or market study. ftc.gov Section 2 of the Sherman Act makes it unlawful for a company to "monopolize, or attempt to monopolize," trade or commerce. As that law has been interpreted, it is not necessarily illegal for a company to have a monopoly or to try to achieve a monopoly position. The law is violated only if the company tries to maintain or acquire a monopoly position through unreasonable methods. For the courts, a key factor in determining what is unreasonable is whether the practice has a legitimate business justification. Mergers ftc.gov ******************************************************************** Cheers, Lee PS - Added more JDSU yesterday at 211 1/2.