Microsoft

This paper will focus on Microsoft, its role in the tech world and the subsequent litigation which resulted in Microsoft having to tone down its activities.

According to Microsoft,

“ Lawsuits brought by the U.S. Department of Justice, 18 states, and the District of Columbia in two separate actions were resolved through a Consent Decree that took effect in 2001 and a Final Judgment entered in 2002. These proceedings imposed various constraints on our Windows operating system businesses. These constraints include limits on certain contracting practices, mandated disclosure of certain software program interfaces and protocols, and rights for computer manufacturers to limit the visibility of certain Windows features in new PCs. We believe we are in full compliance with these rules. However, if we fail to comply with them, additional restrictions could be imposed on us that would adversely affect our business.

Microsoft was sued by the DOJ on the 18th of May 1998 under Section 1 and 2 of the Sherman Antitrust act. The charges were that Microsoft abused its monopoly on Intel powered computers with its Windows OS and free bundled Internet explorer. It was alleged that Microsoft managed to gain the lion’s share of the browser market by bundling IE free with its operating systems. The prosecution alleged that Microsoft was responsible for stifling competition in the market by bundling its product free. Microsoft’s stand was that the browser was a part of the system and could not be removed. The paper will also look at the charges, an indepth look at whether Microsoft broke anti trust law and whether the judgment was justified. It also looks at the appeal which Microsoft filed to prevent a breakup of the company. Fortunately Microsoft managed to avoid a breakup of the company in exchange for a less severe settlement. They ended up having to share their API with third parties and appoint a third party to audit their systems to make sure they complied.

European Union...