United States versus Microsoft Corporation case was a set of combined civil engagements filed against Microsoft relating to the Sherman Antitrust Act by the Department of Justice. In the case, the Department of Justice purported that Microsoft abused monopoly supremacy on PCs in its control of OS sales and web browser software sales (Lohr& Brinkley, 2001). The conflict evolved around the integration of the internet explorer browser software in Microsoft’s Windows OS; a move that was argued to restrict web browser competitors like Opera and Netscape from accessing the browser market. Microsoft argued that it did not have a case to answer and stated the misfortune was the result of the fierce competition and innovation strategies in its industry (Glader, 2006). The following paper aims at analyzing the merits generated from the final settlement of the case and outlines the parties that benefited and those whose interests were harmed.
The United States v Microsoft Corporation tentative settlement generated widespread controversy. Numerous critics, mainly Microsoft’s rivals and competitors in the technology sector, have claimed that the planned consensus does not go far enough in punishing Microsoft for the apparent offenses they committed. Analyzing the case as an economist, however, points me to a rather different assumption that the settlement is desirable to the substitute of further litigation.
The planned settlement is a concession reflecting the reality that ending the hearing would expose Microsoft to an undefined result and would put the government case at risk. The government dropped numerous basics of the conduct remedies that they had accomplished in the original hearing and the ...
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...ides PC manufactures that right, which is not limited to Internet Explorer but also serves other numerous software developers falling under the settlement’s description of middleware.
Cseres, K. (2005). Competition law and consumer protection. London, UK: Kluwer Law International.
Evans, D. S. (2002). Microsoft, antitrust and the new economy: selected essays. New York, NY: Springer.
Glader, M. (2006). Innovation markets and competition analysis: EU competition law and US antitrust law. Camberley, UK: Edward Elgar Publishing.
Lohr, S. & Brinkley, J. (2001). U.S. v. Microsoft. New York, NY: McGraw-Hill.
Perritt, H. (2001). Law and the information superhighway. New York, NY: Aspen Publishers Online.
Rubini, L. (2010). Microsoft on Trial: Legal and Economic Analysis of a Transatlantic Antitrust Case. Camberley, UK: Edward Elgar Publishing.
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