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To: Bearded One who wrote (17691)	3/1/1998 12:08:00 PM
From: John Donahoe	Respond to of 24154

"Thus, if they claim that Microsoft is behaving reasonably, then it must not be a monopoly." You're right. MSFT is not technically a monopoly. It however exercises monopoly like power because of it's dominance on the desk top. Hegemony is a more precise definition. MSFT is a "natural monopoly" or a "de facto monopoly" due to "networking" effects. What ever you call it MSFT is beneficiary to the law of "increasing returns". Since this is natural (read market driven) it is unlikely to be stopped, without some kind of non market action (read political). JD