Microsoft Fights Antitrust Case with Industry Association on Its Side

Strategic Insights -

The Software and Information Industry Association (SIIA) has sided against Microsoft Corp. in the Justice Department's antitrust case against the company. Despite Microsoft's objections, the SIIA voted to support the court, as reported in the Wall Street Journal. The association's decision is seen as a significant blow to Microsoft's defense, with 19 states allied with the Justice Department expected to file briefs in support of the government's case.

Key Takeaways:

  • The Software and Information Industry Association (SIIA) voted to support the court in the Justice Department's antitrust case against Microsoft Corp.
  • Ten of the SIIA's 19 board members abstained or did not participate in the vote.
  • Microsoft submitted a brief in its defense from the Association for Competitive Technology, an organization with which it is closely allied.
  • The SIIA's filing is expected to contend that Microsoft enjoys a monopoly in desktop PC software.
  • The filing by the states reportedly will be written by Robert Bork, a conservative former appeals court judge and antitrust scholar who has been a strong supporter of the government's case.
  • The brief filed in support of Microsoft was signed by a respected and influential bipartisan group including former US attorneys general Nicholas Katzenbach and Griffin Bell, and past White House counsels Lloyd Cutler and C. Boyden Gray.
  • The brief argued that antitrust laws encourage a holder of a "lawfully acquired monopoly" to compete aggressively and that Microsoft didn't attempt to monopolize.

Statistics:

  • 19 members of the SIIA board voted, with 10 abstaining or not participating.
  • 19 states are allied with the Justice Department in the antitrust case against Microsoft.
  • 1 brief filed in support of Microsoft was signed by a bipartisan group of respected individuals.

Sources:

  • "Microsoft Qty. Holds", Newsbytes.com, February 1, 2000
  • "Microsoft Fights Antitrust Case with Industry Association on Its Side", Wall Street Journal, February 1, 2000.