1/ Why do you think Microsoft was such a prominent focus of the government’s ant
ID: 422109 • Letter: 1
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1/ Why do you think Microsoft was such a prominent focus of the government’s anti-trust efforts in the 1990s and early 2000s? 2/ In the on-line course session for the first week of class, you read an article about a class action lawsuit that had been filed on behalf of roughly 64,000 tech employees against firms like Google, Apple, Intel, and Adobe, alleging that the executives at these firms – people like Steve Jobs, Eric Schmidt, and Sergey Brin – had colluded with each other to form no-poaching agreements, thereby keeping their employees from jumping ship to competing firms. If the allegations are true, have the defendants engaged in anti-competitive behavior and violated the anti-trust laws? How or how not? 1/ Why do you think Microsoft was such a prominent focus of the government’s anti-trust efforts in the 1990s and early 2000s? 2/ In the on-line course session for the first week of class, you read an article about a class action lawsuit that had been filed on behalf of roughly 64,000 tech employees against firms like Google, Apple, Intel, and Adobe, alleging that the executives at these firms – people like Steve Jobs, Eric Schmidt, and Sergey Brin – had colluded with each other to form no-poaching agreements, thereby keeping their employees from jumping ship to competing firms. If the allegations are true, have the defendants engaged in anti-competitive behavior and violated the anti-trust laws? How or how not? 2/ In the on-line course session for the first week of class, you read an article about a class action lawsuit that had been filed on behalf of roughly 64,000 tech employees against firms like Google, Apple, Intel, and Adobe, alleging that the executives at these firms – people like Steve Jobs, Eric Schmidt, and Sergey Brin – had colluded with each other to form no-poaching agreements, thereby keeping their employees from jumping ship to competing firms. If the allegations are true, have the defendants engaged in anti-competitive behavior and violated the anti-trust laws? How or how not?Explanation / Answer
1. Microsoft was a prominent focus of Government's anti-trust efforts
The Microsoft antitrust case started in 1997. The Government alleged during these years that Microsoft had used the technology to maintain an illegal monopoly. It was the largest of the new economy firms. Antitrust legislation highlights if it can promote the public good, in case it is applied to the new economy firms. It is an important consideration with respect to anti-trust laws.
To avoid its collusion with IBM in the PC software market, FTC was investigating since 1990. Microsoft had to sign a consent form to not allow the use of the OS to stifle competition. The case was eventually settled in 2002. The consent form
The Government's regulations against Microsoft were under the section 1 of the Sherman Act. The restraint in trade could have come about due to:
As per the Government, Microsoft gave up on its profits to maintain a monopoly in Windows. Microsoft does not charge consumers for IE directly. It did not charge ISP, and, the IAP firms distributing.IE separately.
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