Microsoft has been alleged to have engaged in anti-trust behavior through a legal complaint that was filed against the company.
There is an article titled “Microsoft: One World Operating System” on the Corporate Watch website. It can be found at www.corpwatch.org/trac/feature/microsoft.
There is an ongoing conflict in the US Courts between Microsoft Corporation and the government. The allegation is that Microsoft’s monopolistic actions have a negative impact on American citizens, resulting in higher prices and possibly lower software quality. The government advocates for putting an end to these practices. On the other hand, Microsoft and its supporters claim that they are not breaking any laws and are merely conducting fair business practices. The antitrust issues surrounding Microsoft began in the early 1990s when the Federal Trade Commission filed a case against them.
The ongoing legal dispute between Microsoft and the United States Courts centers around accusations of monopolistic practices. The federal government contends that these practices have negative effects on American citizens, including higher prices and potential deterioration of software quality, and therefore calls for an end to Microsoft’s activities. However, Microsoft and its supporters argue that they are engaged in legitimate business operations without breaking any laws.
Microsoft’s antitrust problems go back to the early 1990s when they faced investigation by the Federal Trade Commission for potential violations of Antitrust Laws, which aim to prevent monopolies. Despite extensive investigations, no resolution was reached until competitor Novell lodged a complaint, leading to additional delays. Eventually, the case was transferred to the Department of Justice.
On July 15, 1994, the Department of Justice resolved a case against Microsoft through a quick settlement agreement. The primary focus of this consent settlement was Microsoft’s sales practices with computer manufacturers. Previously, Microsoft provided OEMs with a 60% discount for MS-DOS and other operating systems if they agreed to pay royalties for each computer sold, regardless of whether it had a Microsoft operating system installed. However, as part of the settlement, Microsoft was required to base their operating system sales on the number of computers shipped with a pre-installed Microsoft operating system rather than for computers running different operating systems. Additionally, the Justice Department accused Microsoft of imposing a minimum requirement on retailers to purchase operating systems before allowing them to install systems from other vendors. This practice continued until all Microsoft operating systems were installed by the retailer. Furthermore, Microsoft entered into long-term contracts lasting two or three years with vendors.
