Monopoly

Title page Microsoft Monopoly Clyde Kocher clyde.kocher@yahoo.com Content Introduction…………………………………………………………………………...page Subtitle 1 ……………………………….………………….………………………… page Subtitle 2 ……………………………….………………….………………………… page Conclusion………………………………………………………………………....... page References………………………………………………………………………....... page Microsoft Monopoly Introduction United States v Microsoft On May 8, 1998 the United States Department of Justice along with twenty states filed a lawsuit against Microsoft pursuant to the Sherman Antitrust Act of 1890. The lawsuit claimed that Microsoft was a monopoly and abused monopoly power. According to Judge Thomas Jackson the reasons for this and subsequently his ruling of guilty was that “First, Microsoft's share of the market for Intel-compatible PC operating systems is extremely large and stable. Second, Microsoft's dominant market share is protected by a high barrier to entry. Third, and largely as a result of that barrier, Microsoft's customers lack a commercially viable alternative to Windows (CNN Money).” One key factor in this lawsuit was the harm to the consumer which happened during Microsoft’s anti-competitive campaign that ultimately limited the consumer’s choices and harmed innovation. Clyde Kocher v Microsoft After reading the case and studying most of the facts and evidence that was presented by the Department of Justice I believe that Microsoft did violate the Sherman Antitrust Act of 1890. Bill Gates, Microsoft CEO and founder stated “``Microsoft competes vigorously and fairly'' and also stated “Can a successful American company continue to improve its products for the benefit of consumers''' I believe that Microsoft did not operate its business in a manner that was fair not only to the consumer but other firms that were “stonewalled” in their plight to complete fairly in an open market. There has to be a reason why this company was flourishing while others were floundering and that reason is due to the monopoly that Microsoft had built and operated. Good v Bad A question has been asked if all monopolies are bad. A easier question to ask is “ are there any good reasons for a monopoly, and if so, does any exist. Bibliography/References [Type references alphabetically; format APA] Last Name, First Initial. Middle Initial. (year). Name of article in sentence case: If there is a subtitle, it should also be in sentence case. Name of Journal in Title Case, volume(issue), first page-last page. Retrieved Month Day, Year, from name of database (if applicable) and specific URL. Ellig, Jerry (2003, January 28). Competition and Effects of Price Control. Retrieved May 2, 2008, from Federal Trade Commision Web site: http://www.ftc.gov/be/v030005.shtm