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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (17542)	3/9/1999 8:22:00 PM
From: Ian Davidson	Respond to of 74651

From Yahoo: Tuesday March 9, 7:40 pm Eastern Time Microsoft up on talk of possible antitrust accord By Martin Wolk SEATTLE, March 9 (Reuters) - Microsoft Corp. stock surged for a second straight session Tuesday on speculation the company would settle government antitrust charges during the current lengthy trial recess, industry analysts said. Microsoft, which had been up nearly $6 earlier, closed at$161.81, up $2.81 in heavy Nasdaq trading, after adding $4.06 Monday. While some of the increase reflected a general rebound in the technology sector, the rise also was fueled by Intel Corp.'s agreement Monday to settle antitrust charges with the Federal Trade Commission. In addition, The Seattle Times reported that Microsoft and the government were exploring ways to settle the lawsuit before it resumes next month. But a source close to government lawyers told Reuters there have been no recent settlement talks. ''Everyone would be pleased to see a settlement of one kind or another,'' said Bill Epifanio, an analyst with J.P. Morgan. But he and other analysts and industry sources said they did not expect a settlement before the trial's scheduled resumption in late April or early May. ''Maybe Microsoft is rethinking its position, but I'm not really confident we'll get a settlement,'' said Jeffrey Maxick of Madison Securities. ''Both sides appear relatively comfortable with how the trial is going. I don't see either side giving up an inch at this point.'' Microsoft executives declined to comment directly on whether they were discussing a possible settlement of antitrust charges but said they remain open to negotiations. ''One always has to remain interested in pragmatic approaches,'' said Brad Smith, Microsoft's international general counsel. But he said the company is firmly convinced it will prevail in court and will not compromise on what it considers fundamental principles. ''We don't feel we can compromise away the ability of our industry to design products in a manner that is going to benefit consumers,'' Smith told reporters at a briefing Monday. ''Because if we do, we compromise away our future -- not just our future, but the industry's future.'' Industry analysts questioned the likelihood of a settlement now, when the Justice Department is in a stronger position than ever thanks to a strong courtroom performance in the trial, which began Oct. 19 and went into recess Feb. 26. ''Since they probably feel pretty confident about winning, I don't see any reason for them to give anything up at this point,'' said Maxick, referring to the Justice Department. He and others pointed out that Microsoft Chairman Bill Gates went to Washington last year in an effort to settle the case before it was filed and was unable to negotiate any terms that could satisfy the two sides in the case. While the Intel Corp. settlement raised some investors' hopes about a possible Microsoft deal, analysts and industry sources pointed out that the two companies and two cases were quite different. ''Everyone thinks Microsoft and Intel are married, but we've just seen that they aren't,'' said one computer industry source. ''They're very different companies, their temperaments, their way of doing business.''

To: t2 who wrote (17542)	3/9/1999 8:47:00 PM
From: LindyBill	Read Replies (1) \| Respond to of 74651

That is why the pressure will build on DOJ and MSFT just before a ruling comes out T2, I have read the reports, read all the pro and con on this thread, think I am smart about this, and you known what? I am clueless. Furthermore, so is everyone else! We are all guessing like mad, and guessing in favor of the direction we want it to go. I really should pull out just before the decision, or, if I see the market going negative, sooner. The decision scares me, and could bomb the stock, in spite of everything most of us, and you, believe. It is really risky to bet a bundle on a court decision, and that is what we are doing. It is tough enough to make a buck in the market without subjecting yourself to the whims of an almost senile Judge, and the Government Attorneys. A covered call might be the answer. I am going to have to mull this over.