[lug] Monopoly huh...

Ian S. Nelson nelson_ at ibm.net
Sat Nov 6 07:38:05 MST 1999


llornkcor wrote:

> I don't necessarily think that MS is a true monopoly, there _are_ other choices
> out there, after all. Unlike the Bell Phone company was. I guess it would
> depend if you think ~ 90% market share is a monopoly. But, I do think that they
> do business unfairly, and use their 'market power' to stifle the competition. I
> just hope that this is good for the industry, and I don't see how it couldn't
> be.
> LP

Being a monopoly isn't illegal.  Using monopoly power as leverage is and you don't
need to have 100% of the market to do that.  You just need to be substantially
larger than any of your competitors.
It's pretty simple in my mind, the moment you put bottom line market share and
dollars on the table as the symbol of your victory you are on deck to break the
law.  The whole idea is that consumers are supposed to benefit and that happens
through competitive innovation.  The minute you're focused on removing competition
to maintain marketshare or expand it you're breaking the law.  MS at one point
wrote code to hinder their competitors' products, in some countries that could be
considered illegal under newer computer crime legislation against cracking and
viruses.

Do you win a marathon by gunning down the rest of the field and then walking 26
miles? No.

Innovation is protected by the constitution and it is the desired method of
beating your competitors in the market place.  You  make better products cheaper
and market their advantages.


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