Microsoft to pay Stac Judgment of $120 Billion
81 Stuart J. Johnston, Microsoft Settles having Bit of Stac, Computerworld, June 27, 1994, at 30 (Microsoft paid $39.9 million for 155’o of Stac, and an additional $43 million over 43 months for a license to Stac’s data compression technology); Doug Barney, Microsoft, Stac Manage Argument; Microsoft In the end Will pay Upwards, InfoWorld, June 27, 1994, at 14.
83 As explained in Section V.C., infra, the superficially irrational behavior of undermining the application vendors that produce programs that run on Microsoft’s operating system is logical specifically as the Microsoft has an independent economic incentive to monopolize the s.
85 Amy Cortese, Business Week, Dec. 19, 1994, supra, at 35 (HP, Compaq and other big U.S. PC makers plan to bundle Windows 95 into their machines).
86 Look for Lawrence J. Microsoft: Not too Marvelous, Bay Area Computer Currents, Dec. 1, 1994, at 98, 101 (Ex. 1); Carole Patton, Computerworld, Nov. 14, 1994, supra, at 57 (Ex. 8).
88 Don Clark, Microsoft to acquire Intuit In the Stock Treaty, Wall St. J., Oct. 14, 1994, at A3 (86% of retail store sales); Karen Epper, Software Package Shakes Upwards Home Financial, Amer. Banker, Oct. 17, 1994, at 1, 25 (80-85%).
89 Michelle Flores, Requests for More info, Seattle Times, Nov. 22, 1994, at B11; Michael Schrage, Microsoft Produces 1000s of dollars; Does it Profile the treating It?, Washington Post, Oct. 21, 1994, at B3; Brent Schlender, Fortune, Jan. 16, 1995, supra, at 36.
91 Brent Schendler, Fortune, Jan. 16, 1995, supra, at 4748; see including, Michael I. Miller, PC Magazine, Jan. 24, 1995, supra, at 80 (Ex. 25) (“Microsoft could require just a small service charge on each transaction. Or it could make money on the float — the interest in the few seconds it takes to move money from one place to another. Or both.”).
92 For example, leading industry analyst Rick Sherlund of Goldman Sachs predicted that with the settlement, Microsoft “should dominate the market for desktop software for the next 10 years.” And another leading analyst, Richard Shaffer concluded that “It]he operating system wars are over — Microsoft is the winner . Microsoft is the Standard Oil of its day.” Andrew Schulman, Microsoft’s Traction With the Application Fasten By the Antitrust Contract, Dr. Dobb’s Journal of Software Tools, Oct. 1994, at 143 (Ex. 13).
93 See John M. Goodman, New Dos Heavyweights Wade Various other Round, InfoWorld, Aug. 29, 1994, at 87 (rating PC-DOS version 6.3 above MS-DOS version 6.22) and Earle Robinson, DOS-adaptation Madness? Integration Coping with 2, Windows Sources, Oct uniformdating visitors. 1994, at 163 (“my choice would be the IBM . . . it’s cheaper”) and Yael Li-Ron, Desktop computer Dos six.3: Dos and Dos: Split Within Beginning, PC-Computing, bra computers ship with MS-DOS).
Probe off Microsoft is Lengthened – Fairness Dept
94 Don Clark Laurie Hays, Microsoft’s The newest Purchases Projects Draw Complaints, Wall St. J., Dec. 12, 1994, at B6 (Ex. 41).
96 All of these problems are discussed in Rory O’Connor, San Jose Mercury News, Nov. 13, 1994, supra, at 1A, 28A (Ex. 34).
Magid
99 Indeed, Microsoft’s operating system “lock-in” has permitted it to bring demonstrably inferior products to market (products that did not enjoy any appreciable consumer acceptance) without negative consequences to the company. See Michael Morris, Microsoft Deal: A lack of, Too-late, S.F. Examiner, July 24, 1994, at C-5. (Ex. 33)
100 Joseph Farrell, Hunter K. Monroe and you will Garth Saloner, The newest Straight Organization Regarding Business and you will Assistance Battle In place of Component Battle, October 1994 (operating report).
101 Look for, elizabeth.grams., supra, note 32. (Microsoft presently holds greater than 90% of the X86 operating system market share); Christopher O’Malley, Personal Computing, October 1986, supra, at 181, 183 (“Microsoft’s operating system” has “better than 95 percent” share of the X86 systems.)
