Question

In 2002 a U.S. court of appeals imposed remedies relating to a lower court’s findings that Microsoft had a monopoly in personal computer (PC) operating system and had maintained its monopoly through illegal actions. At the U.S. Justice Department’s Web site, www.usdoj.gov, Click on the Agencies on the top of the window, Click on Antitrust Division and then on website Click on Antitrust Case Filings Find U.S. vs. Microsoft case filings. Scroll down to District Court filings and find Findings of Fact In the list of Findings of Fact find Court’s Findings of Fact (11/5/99).

In your initial response to the topic you have to answer all questions:

1.On what basis did the court conclude that Microsoft was a monopoly (see “Market Share”)?

2.What was Microsoft’s market share of Intel-compatible PC operating system? Of all operating system, including those of Apply computers?

3.What evidence did the court cite in claiming that Microsoft charged above-competitive prices (see “Microsoft’s Pricing Behavior”)?

Answer 1

Answer - Since, there is difficult to present the evidence to establish that firm is engaged monopoly act in anti competitive manner, This can be established thourgh circumstantial evidence evidence to establish that Microsoft engaged in anti competitive manner like market share.

Microsoft share in Intel compatible personal computer operating system is 90% of market further monopoly unlawfully had maintained its operating system monopoly by series of acts by eliminating two middle ware platform, i.e- Sun Java technologies and Netscape web browse.

It further manipulated application programming interfaces to favor intenet explorer over third party web browsers by farming restrictive license agreements with original equipment manufacturers [OEM]

(2) The market share of Microsoft in intel computer is 90%.