[lug] Monopoly huh...

Cory Dekker cory at sysmgrs.com
Sat Nov 6 16:16:44 MST 1999


The Judge HAS found that MS needs to be punished.  But not for having a
monopoly; rather, for abusing it:

                  "Microsoft has demonstrated that it will use its
                  prodigious market power and immense profits to
                  harm any firm that insists on pursuing initiatives that
                  could intensify competition against one of Microsoft's
                  core products," Jackson added.
                       "The ultimate result is that some innovations that
                  would truly benefit consumers never occur for the
                  sole reason that they do not coincide with Microsoft's
                  self-interest."

Recommendations for what that punishment should look like are now
up to the DOJ and the states in the suit.  MS can also opt to try to pay
that punishment directly, through a settlement, before the plaintiffs make
their recommendations back to the Judge.  or... MS can try to convince
themselves that they can deal with the appropriateness of the findings, or
the punishment, through the appeals process.


                                                                        -Cory

"Jeffrey B. Siegal" wrote:

> Calvin Dodge wrote:
> > but declaring Microsoft has "monopoly power over Intel
> > operating systems" (and therefore needs to be punished for that) makes about as
> > much sense as slapping Apple for having "monopoly power over Motorola systems".
>
> The judge has *not* found that Microsoft should be punished for having
> monopoly power.  *Having* monopoly power is not even against the law.  What is
> against the law is *abuse* of monopoly power to protect or extend a monopoly.
> Finding that Microsoft holds monopoly power is a necessary but not sufficient
> step toward finding a violation of antitrust law.
>
> The relevance of yesterday's finding was that if the judge had found that
> Microsoft did not have monopoly power in *any* market, however you want to
> define it, the case would effectively be over.  Since he found that Microsoft
> does have monopoly power, the case proceeds to determine whether they have in
> fact violated the law.
>
> > And so does Apple, in _its_ field.
>
> Possibly so, in which case Apple *could* be successfully sued for violations
> of anti-trust *if* they had improperly used that monopoly power.
>
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