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Strategies & Market Trends : Graham and Doddsville -- Value Investing In The New Era -- Ignore unavailable to you. Want to Upgrade?

To: porcupine --''''> who wrote (302)	5/8/1998 12:10:00 AM
From: porcupine --''''>	Read Replies (1) \| Respond to of 1722

Microsoft off on antitrust fears-analysts SEATTLE, May 7 (Reuters) - Microsoft Corp. stock slumped Thursday on increasing concern that federal regulators plan to file a broad antitrust suit against the software giant, industry analysts said. Microsoft was off 2-9/16 at 83-13/16 in heavy Nasdaq trading after Business Week became the latest media outlet to report that the U.S. Justice Department plans to bring suit by next month under the federal Sherman Act. The stock has fallen in 10 of the past 11 sessions since it peaked at a record 99-1/8 last month. ''Complacency is being displaced by concern,'' said David Readerman of NationsBanc Montgomery Securities. If the Justice Department files an antitrust suit, there would be ''a very swift selloff in Microsoft,'' he predicted. International Business Machines Corp. (IBM - news) stock rose only 7 percent in the 13 years it was fighting a federal antitrust suit, he noted in a research report. He also said investors were concerned about a possible injunction against the sale of the Windows 98 operating system update, which is scheduled to go on sale June 25. But Readerman and other analysts noted that despite heavy publicity in recent days Windows 98 actually is a relatively minor product for Microsoft. Readerman estimated Windows 98 would bring in less than $600 million in additional revenue over its first year, about half the impact of its predecessor Windows 95 three years ago. The story in the May 18 issue of Business Week, which goes on sale Friday, says the Justice Department plans to launch a broad antitrust case against Microsoft. Business Week also reported that the Federal Trade Commission (FTC) may take action against Microsoft's partner Intel Corp (INTC - news) as well. The Justice Department's antitrust case will charge that Microsoft illegally uses its monopoly power in computer operating systems to expand its share of other markets, the magazine said. Business Week also said attorneys general from several states are planning a coordinated action against Microsoft that could come as early as next week, as has been widely reported. On Intel, Business Week said FTC staff members are planning to present a proposed action charging the chip maker with illegally using monopoly power to harm its rivals and punish customers who cross it. ''It's a non-public investigation. We are continuing to work with them, to meet with them, the spirit of cooperation in still in place,'' a spokesman for Santa Clara, Calif.-based Intel told Reuters. The FTC is also investigating whether Intel unlawfully uses its chip dominance to fight its way into new markets, a move that could result in a separate action, Business Week reports. The report, citing sources familiar with the FTC's investigation, said the agency initially is focusing on charges that Intel retaliated against two customers that sued the company in patent disputes. The two companies are Digital Equipment Corp (DEC - news) and Intergraph Corp (INGR - news).

To: porcupine --''''> who wrote (302)	5/14/1998 6:08:00 PM
From: porcupine --''''>	Read Replies (2) \| Respond to of 1722

Justice Dep't Halts Release of Office 98 (no matter how they "spin" this): Microsoft, U.S. 'not close' to agreement-source WASHINGTON, May 14 (Reuters) - Microsoft Corp. (MSFT - news), the U.S. government and state governments are not close to agreement to avert possible antitrust action, a source close to the talks said on Thursday. ''We are not close,'' the source said. ''There is a lot of lifting to do.'' Earlier on Thursday, the U.S. government and 20 state attorneys general said they would open talks with Microsoft on Friday in Washington. While talks were ongoing, the U.S. and state governments agreed not to file the major antitrust lawsuit against Microsoft that had been scheduled for Thursday, and the company agreed in return to delay distribution of its Windows 98 operating system to computer makers. Law enforcement officials are expected to seek broader relief than they accepted from Microsoft in a January agreement. At that time, the company said it would allow computer makers to remove their Internet Explorer Web browser ''icon'' from the Windows 95 computer screen ''desktop'' and replace it with an icon from rival Netscape Communications Corp. Icons are small, colorful logos that users may click on to open programs.