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

To: taxman who wrote (21945)	5/3/1999 1:02:00 PM
From: ToySoldier	Read Replies (3) \| Respond to of 74651

Finally, a prominent directly affected industry organization with some guts is going to speak on behalf of the DOJ's case. I guess it takes a company the size of IBM to step forward and speak on behalf of the other industry players that are too scared to testify against MSFT for fear of retaliation. This announcement will not bode well for MSFT stock price... Monday May 3 9:52 AM ET IBM To Testify For Government On Microsoft By David Lawsky WASHINGTON (Reuters) - IBM Corp. will become the first computer maker to testify for the government in the antitrust case against Microsoft Corp. (Nasdaq:MSFT - news), a source close to the case said Monday. The source confirmed reports that IBM will give details on how Microsoft allegedly used its power as the supplier of the Windows operating system to push computer makers around. IBM will testify when the trial, currently in recess, enters its rebuttal stage. A formal list of rebuttal witnesses was to be released later Monday by both sides. Computer makers are intimately tied to Microsoft and their employees know first-hand about the company's business practices. But they have until now refused to testify in court about the software giant, which provides computer makers with the Windows operating system that they must have to stay in business. A glimpse of the kind of testimony that a computer maker can provide came earlier this year, when the government questioned a Gateway 2000 Inc. (NYSE:GTW - news) executive, James von Holle, who said in written answers that his company was threatened by Microsoft. A Gateway license with Microsoft was ''contingent on Gateway's agreement not to offer competitive products'' on some of its models, von Holle said. Microsoft senior vice president Joachim Kempin testified earlier this year he knew nothing about the Gateway 2000 allegations. The government contends that Microsoft holds a monopoly on its Windows operating system for personal computers. But the market for server software, used to work with networks of computers, is still competitive. Critics of Microsoft contend the company is trying to leverage monopoly power in its Windows system to acquire a monopoly in the server market. The Justice Department and 19 states have presented a dozen witnesses so far, as has Microsoft. Each side will have three rebuttal witnesses once the trial resumes, which could be late this month. The government contends that Microsoft abused monopoly power in the Windows system to compete unfairly. Its case focused in large part on competition with Netscape Communications in the market for Web browsers. Netscape has since been acquired by America Online Inc. (NYSE:AOL - news),, and two AOL executives will testify at depositions later this week on the takeover. Barry Schuler, of the company's interactive services group, testifies Wednesday. Chief Executive Officer Steve Case will testify Friday. dailynews.yahoo.com Toy