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Essay on Microsoft Antirust
Since 1990, a battle has raged in United States courts between the United States government and the Microsoft Corporation out of Redmond, Washington, headed by Bill Gates. What is at stake is money. The federal government maintains that Microsoft’s monopolistic practices are harmful to United States citizens, creating higher prices and potentially downgrading software quality, and should therefore be stopped, while Microsoft and its supporters claim that they are not breaking any laws, and are just doing good business. Microsoft’s antitrust problems began for them in the early months of 1990.
The problems first started shortly after Microsoft released the Windows 98 Operating System. To help the look of Windows 98, Microsoft Internet Explorer was integrated with the operating system to become a major component to Windows 98. Because of this, the default Internet browser was Internet Explorer. Some users did not like this. Netscape Communications Corporation (also known as Netscape), made a big fuss about this issue. They claimed that Windows 98 users were being forced to use Internet Explorer, and it took away from the users that want to use Netscape. After months in court, Microsoft and Netscape finally came to a settlement (Joel, Steve, 2000).
The next problem that Microsoft had is having a monopoly on the PC market. This was because all new personal computers had the Microsoft Windows Operating System on it. This was difficult for users that wanted to be able to tweak the Operating System to their own liking (Joel, Steve, 2000). They were being forced to buy Microsoft-related products even if they didn’t want to.
Microsoft is accused of using and maintaining monopoly power to gain an unfair advantage in software market. The case has been under observation for a long time, but the Justice department is having trouble coming up with substantial evidence against Microsoft. Specifically, the Department must prove: That Microsoft has monopoly power and is using it to gain unfair leverage in the market (Joel, Steve, 2000)....
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