Monopoly

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Microsoft Monopoly
Clyde Kocher
clyde.kocher@yahoo.com
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Introduction…………………………………………………………………………...page

Subtitle 1 ……………………………….………………….………………………… page

Subtitle 2 ……………………………….………………….………………………… page

Conclusion………………………………………………………………………....... page

References………………………………………………………………………....... page

Microsoft Monopoly
         

       
Introduction
         


United States v Microsoft
    On May 8, 1998 the United States Department of Justice along with twenty states filed a lawsuit against Microsoft pursuant to the Sherman Antitrust Act of 1890. The lawsuit claimed that Microsoft was a monopoly and abused monopoly power. According to Judge Thomas Jackson the reasons for this and subsequently his ruling of guilty was that “First, Microsoft's share of the market for Intel-compatible PC operating systems is extremely large and stable. Second, Microsoft's dominant market share is protected by a high barrier to entry. Third, and largely as a result of that barrier, Microsoft's customers lack a commercially viable alternative to Windows (CNN Money).” One key factor in this lawsuit was the harm to the consumer which happened during Microsoft’s anti-competitive campaign that ultimately limited the consumer’s choices and harmed innovation.

Clyde Kocher v Microsoft
    After reading the case and studying most of the facts and evidence that was presented by the Department of Justice I believe that Microsoft did violate the Sherman Antitrust Act of 1890.   Bill Gates, Microsoft CEO and founder stated “``Microsoft competes vigorously and fairly'' and also stated “Can a successful American company continue to improve its products for the benefit of consumers?''   I believe that Microsoft did not operate its business in a manner that was fair not only to the consumer but other firms that were “stonewalled” in their plight to complete fairly in an open market. There has to be a reason why this...