Congressional Leaders Criticize Microsoft Breakup Ruling

Strategic Insights -

Democratic and Republican lawmakers today lambasted a US District Court decision to split Microsoft into two companies, calling it anti-consumer and expressing confidence that the ruling would be overturned on appeal. Congressional leaders, including Rep. Jay Inslee and Senator Slade Gorton, praised Microsoft's potential to create innovative products and voiced concerns that the breakup would send a negative message to innovators worldwide. Inslee predicted that the US Supreme Court would have the final say over the fate of Microsoft.

Key Takeaways:

  • Rep. Jay Inslee and other lawmakers criticized the breakup ruling as anti-consumer and expressed confidence that it would be overturned on appeal.
  • Inslee stated that Microsoft employees had been expecting the verdict for months and that "no one man" could determine the future of the US high-tech industry.
  • House Majority Leader Dick Armey condemned Judge Jackson's verdict, saying it would divert innovative companies from creating better products and send a negative message to innovators worldwide.
  • Senator Slade Gorton agreed with Armey's condemnation of the verdict, saying he is confident that Microsoft will prevail through the appeals court.
  • Inslee predicted that the US Supreme Court would have the final say over the fate of Microsoft.
  • Microsoft must submit a divestiture plan to carve the software giant up into two companies within four months.
  • The US Department of Justice will have 60 days to respond to Microsoft's plan, and Microsoft will receive another 30 days to file a rebuttal.

Statistics:

  • 15 rounds: Inslee described the breakup ruling as "the first round of at least a 15-round fight" between Microsoft and the legal system.
  • 4 months: Microsoft must submit a divestiture plan to carve the software giant up into two companies within this timeframe.
  • 60 days: The US Department of Justice will have to respond to Microsoft's plan.
  • 30 days: Microsoft will have to file a rebuttal to the Justice Department's response.

Sources:

  • Reported by Newsbytes.com, http://www.newsbytes.com
  • WIRES ONLINE, LEGAL, BUSINESS/MSSPLIT/PHOTO