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To: Victor Lazlo who wrote (96099)3/12/2000 12:45:00 AM
From: Bill Harmond  Read Replies (3) | Respond to of 164684
 
>>Microsoft is simply applying the economics of the PC industry to the game console industry which has hitherto been a clubby place with comparitively little competition.>>

There's no comparison. Microsoft a legendary beneficiary of network effects with Windows and Office, and the victim of network effects in gaming software.

Secondly and more importantly, Microsoft is violating a paramount rule in business: Don't compete with your customers. Microsoft is not a computer company, and they can't force a standard in the gaming space.