To: techguerrilla who wrote (40955 ) 4/4/2000 7:11:00 AM From: saukriver Read Replies (1) | Respond to of 74651
Divest What From What?; Res Judicata Reprise John, I guess I don't see it only being a "matter of time" before the divestiture of Microsoft occurs. How would that divestiture take shape in your mind? It is easy to see that AT&T could be broken up regionally. But what might a divestiture of MSFT look like? My points--in several posts over the past several days--is that the res judicata (the offensive collateral estoppel or issue preclusion kind) will turbocharge the private lawsuits against Microsoft and that Microsoft Legal has already demonstrated its ineptitude at handling litigation. It does not auger well for the company facing hundreds of lawsuits. But, I guess I am still skeptical about whether Judge Jackson's opinion will hold up on a appeal. First, he is not highly regarded as a judge, and the appeals courts know that. Second, the appellate courts are quite hostile to antitrust claims. Third, the showing of harm to competition was meager; consumers are mentioned but 4 times in the lengthy findings of fact. "Antitrust law protects competition, not competitors" (like sorry Netscape). Fourth, Judge Jackson's procedure in this lawsuit was bizarre on several fronts. The limitation of each side to 12 witnesses should truly catch the eye of the appeals courts. But Microsoft must knock out the decision on appeal on procedural grounds in order to set aside the findings of fact. Limitation of the scope of the remedy Judge Jackson orders is not sufficient to set aside the findings of fact. If the findings stay to support a narrower remedy, Microsoft is cooked because those findings become established as a matter of law in the many private lawsuits. "Winning" on appeal is not enough for Microsoft. It must win in a way that sets aside the findings of fact. Still, Microsoft Legal botched this litigation. I don't see it being capable of handling the blizzard of suits it will now face. Couldn't handle this one. Weird choice of a lawyer at Sullivan & Cromwell with limited trial experience to handle one of the most important antitrust trials of the last century. But I am truly curious why you think divestiture of Microsoft is a foregone conclusion. What would that divestiture look like? I submit that whichever of the Baby Bills has the operating system has the monopoly and the others will die. Who would want to work for Microsoft's Internet Division? It is a joke. The money flows from the operating system. The application company would be a weak sister to the Baby Bill that contains the operating system. saukriver