Bus-670-Legal-Environment

Apr 28th, 2015
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Ashford University
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In January, 2002, AOL Time Warner filed a private antitrust lawsuit against Microsoft Corporation. Prior to that, in 1998, the United States of America had also filed suits against Microsoft for violation of antitrust laws.

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Antitrust Violations of MicrosoftAshford UniversityBUS 670 Legal EnvironmentMs. Rachael Lenzmeier JencksApril 8, 2012In January, 2002, AOL Time Warner filed a private antitrust lawsuit against Microsoft Corporation. Prior to that, in 1998, the United States of America had also filed suits against Microsoft for violation of antitrust laws. The basis for the filings was that Microsoft had not obtained or maintained their monopoly by competitive advantages, but by illegally developing entry barriers for other companies (Anonymous, 2003). The lawsuit by the United States alleged that Microsoft had prevented competitors from developing and selling operating systems by exclusionary conduct (United States v. Microsoft Corporation, 1998). Specifically, Microsoft built-in Internet Explorer in a way that it could not be removed by the user, and prevented the use of Netscape Navigator on its operating system. They also attempted to mislead and threaten software developers to prevent competition (United States v. Microsoft Corporation, 1998). The private lawsuit by AOL Time Warner was along the same lines, because Microsoft prevented the use of this companys web browser, the company was unable to compete in a very large market. The courts first task was to determine if Microsoft did indeed hold a monopoly of the market. According to an article in Strategic Direction, Microsoft controlled over 90 percent of sales over the previous seven years and is the

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