Microsoft confronts its success; primacy in software feeds a new inquiry

Article Abstract:

Microsoft Corp again finds itself under investigation for anticompetitive trade practices, this time by the Justice Dept's Antitrust Div. The Federal Trade Commission (FTC) dropped its similar 38-month Microsoft investigation on Aug 20, 1993. The FTC probe focused on whether Microsoft illegally prevented such competing DOS operating system vendors as Novell Inc from negotiating bundling deals with microcomputer makers by offering steep discounts to vendors that paid an MS-DOS licensing fee for every computer sold, not just those actually bundled with MS-DOS. The FTC also looked into charges that Microsoft included undocumented instructions in the operating system known only to its own application developers. Industry analysts foresee Microsoft quickly negotiating a deal to drop the investigation with the Justice Dept, since it would likely involve restrictions only on the company's microcomputer-related software activities, where profits are declining, and not on new ventures in interactive cable television and wireless computing.

Computer peripheral equipment, not elsewhere classified, Operating systems (Software), Operating systems, Science and technology policy, United States. Department of Justice. Antitrust Division, Restraint of trade, Computer history, United States. Executive Office of the President, Operating System, History of Computing, United States. Department of Justice. Antitrust Div., DOS (Operating system)

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Microsoft says F.T.C. has expanded inquiry

Article Abstract:

The Federal Trade Commission has expanded its investigation of Microsoft Corp's competitive practises. The investigation is now believed to be focusing on allegations that Microsoft has monopolized or has attempted to monopolize the market for operating systems and software for microcomputers. The investigation originally just focused on whether an agreement between IBM and Microsoft had limited the competitiveness of Microsoft Windows 3.0 to encourage acceptance of the OS/2 operating system. Analysts believe that many software developers are jealous of Microsoft's market dominance and welcome the investigation.

Cases, Unfair competition (Commerce), Unfair competition, Government Agency, Competition, Legal Issues, Computer Software Industry

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