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To: Richard G. Woodland who wrote (2723)4/10/1998 3:49:00 PM
From: Joe T. Kelly  Respond to of 4903
 
US Justice Department trustbusters meet Microsoft
Reuters Story - April 10, 1998 14:23
(Updates with meeting ending after 3-1/2 hours)
WASHINGTON, April 10 (Reuters) - Top Justice Department
trustbusters met Microsoft Corp. . lawyers and
executives on Friday as the U.S. government pondered whether to
bring new, broader charges against the software giant.
"It's not unusual to meet with parties during the course of
a negotiation," a Justice Department spokesman said after the
3-1/2-hour meeting ended. He had no comment on the meeting's
substance.
Microsoft general counsel William Neukom entered and left
the Department of Justice by car through an auto entrance,
avoiding reporters and camera crews who were waiting outside.
"We felt it was an extremely useful exchange of information
on both sides," said Mark Murray from Microsoft's headquarters
in Redmond, Washington. "I just don't think it's appropriate to
comment on the specific details of the meeting."
Microsoft, which had sought the meeting, met with Assistant
Attorney General Joel Klein and other top antitrust officials
to open a high-level dialogue when the company is under
increasing scrutiny by state and federal law enforcement for
alleged anti-competitive practices.
Some Justice Department staff lawyers say they believe the
federal government now has enough evidence to file charges
against Microsoft.
In an interview this week in Washington state, Microsoft
Chief Operating Officer Bob Herbold said the company was in
daily contact with federal antitrust authorities and was
providing information to state investigators.
Eleven states are preparing to file antitrust charges
against Microsoft, sources close to the investigation have
said. They said the states would accuse Microsoft of using its
dominance over computer operating systems to extend its control
to related areas, such as the Internet.
California, Connecticut, Florida, Illinois, Iowa,
Massachusetts, Minnesota, New York, South Carolina, Texas and
Wisconsin are involved in the case and others may join, a
source said.
In the past, Microsoft has reached agreements with
authorities when it faced a serious court challenge.
For example in January the company faced what legal experts
said was the certainty of a contempt citation from U.S.
District Court Judge Thomas Penfield Jackson.
On the morning of the hearing, Microsoft and the government
however announced they had reached an agreement that averted
the potential contempt citation.
Jackson is hearing government allegations that Microsoft
violated a 1995 consent decree that was supposed to help ease
the way for increased software competition.
The Justice Department has argued Microsoft defied the
decree and competed unfairly against Netscape Communications
in the market for browsers, software needed to look at
the Internet's Web.
Microsoft has asked an appellate court to throw out the
government's charges, arguing that it was exercising a right
under the decree to integrate a Web browser into its operating
system.
The expedited appeal will be argued before a three-judge
panel of the United States Court of Appeals for the District of
Columbia Circuit on April 21.
On Thursday, a day before the talks with the Justice
Department, Microsoft announced it had revised contracts with
about two dozen media and entertainment companies to eliminate
exclusivity provisions.
Under the contracts, content providers featured on the
"Channel Bar" of Microsoft's Internet Explorer browser were
required to promote the Microsoft browser exclusively on their
main Internet pages.
The contract provisions drew the attention of Republican
Sen. Orrin Hatch of Utah last month at a hearing where he
grilled Microsoft Chairman Bill Gates on the issue. At the
time, the company said that it would get rid of the problem.
(From newsalert.com)
Sorry if it's length annoys anyone , Joe