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The ruling is out: Microsoft grounded for ten years Print E-mail
April 28, 2000


Microsoft in trouble again with lawmakers  

Like most people, I thought that this would be a slap on the wrist for Microsoft. When Rockefellors' Standard Oil was broke up, Rockefeller and his shareholders had a laugh, because the company was broken up, but not much else was done. With Microsoft, however, no one at Microsoft must be laughing. This settlement from the justice department sounds like utter hell for Microsoft.

Microsoft would not be able to offer discounts to companies for its software under the settlement unless they are foreign translations.

They are also banned from giving companies special deals for purchasing multiple Microsoft products such as bundling a Microsoft games with its joystick.

Email is supposed to be monitored for a period of at least four years in areas of critical importance such as software development and communications between top executives.

Federal officers will also be allowed to come into the company during office hours and read any documents or question any employee without interference.

Also, no more exclusive licensing agreements with computer makers or others. The company will also have to make code available for software developers.

The breakup will seperate the operating system from the rest of the company. The companies will then be forced to not work together for a period of ten years.

Also, Microsoft executives that own more than 3% of stock would be barred from owning shares in both companies. This seems like the most contriversial thing to me. This restriction wasn't placed on AT&T during the breakup, but most of the executives didin't own at least 3% of the shares.

This seems very bad to me. Even though Microsoft and Bill Gates committed illegal acts, the company should still allowed to be owned by those who created it. Even if Gates and other shareholders have 3% or more Microsoft shares they should be allowed to have ownership rights in both companies, but should be barred from cooperating with the other company.

Such conflicts occur everyday with small corporations where one person has to put on two hats and play the role or manager and chairman of board. Gates and others should be allowed the same priviledge, and should be punished if the two hats become one. They should not have part of the company taken away from them as it sounds like may happen now.

 

http://www.wired.com/news/politics/0,1283,36000,00.html

http://www.msnbc.com/news/400555.asp





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