[Am-info] FIN says Americans support MS/DOJ cave-in

[Mark Hinds]

A friend forwarded me his FIN newsletter from from MS.

Who are these guys (cited in newsletter below)?
http://www.techleadership.org/5010/wrapper.jsp?PID=5010-7&CID=5010-022602B

---------- Forwarded message ---------- From:
Microsoft@Newsletters.Microsoft.com> To: foo@bar.com Date: Thu,
28 Feb 2002 18:41:24 -0800 Subject: Freedom To Innovate Network
Newsletter Reply-To:
    3_26466_BABB0CF3-C7B8-D011-A499-0000F8600A96_US@Newsletters.Microsoft.com

February 28, 2002

Public Opposes Non-Settling States' $80 Billion Plan, Supports
Settlement in Antitrust Case

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of this message.

The public supports the bipartisan settlement between Microsoft and
the Department of Justice and nine states, and wants the remaining
holdout states to settle, according to two recent surveys.

According to an Americans for Technology Leadership poll, 55 percent
of respondents believe the settlement between the DoJ and Microsoft
"does about the right amount" while 25 percent believe it actually
"goes too far." (Full results at www.techleadership.org). In a
separate survey released this week by Ipsos-Reid, 73 percent said
the nine holdout states should settle the case with Microsoft.

Those high percentages reflect the public's desire to move on and
their concern over the unworkable and harmful plan proposed by the
non-settling states.

One of their requirements would force Microsoft to create thousands
of versions of Windows, with and without - and in every combination
in between - certain vaguely defined "middleware." Microsoft CEO
Steve Ballmer compared this to someone saying, "We want the Space
Shuttle designed so that any part can be taken out, and it'll still
fly, and it'll fly right."

The economic consequences of the states' plan would be devastating
as well, according to a study released recently by the Association
for Competitive Technology (ACT). The author, University of Texas
economist Stan Liebowitz, estimates - conservatively - that it would
cost consumers and independent software vendors $80 billion over
the next three years. (The study is available at www.actonline.org.)

The bipartisan agreement reached with the Department of Justice
and nine states imposes strong restrictions, but is fair and will
benefit consumers and the industry. Most important, it will let the
economy move forward while preserving Microsoft's ability to compete
and to innovate. On Wednesday, Microsoft filed its opinion with the
Court clearly outlining why the settlement is in the public interest.

The non-settling states' plan, however, goes well beyond the
findings of the Appeals Court and will have drastic consequences for
consumers, the industry and the economy. Further, the U.S. government
is the proper authority on antitrust matters and the states' plan
would override the Justice departments' judgment. Accordingly,
Microsoft has asked U.S. District Judge Colleen Kollar-Kotelly to
dismiss the non-settling states' lawsuit.

Your participation throughout this case has been invaluable,
especially during the Tunney Review, when the DoJ received
roughly 10,000 comments - many from FIN members - in support
of the settlement. Your input helped shape the revisions
to the settlement Microsoft and the DoJ filed last night
(http://www.dcd.uscourts.gov/microsoft-2001.html).

However, the radical plan set forth by the non-settling states is
a reminder that the threat to consumers and innovation is real. In
the coming weeks, it will still be essential to let public officials
know how important it is to consumers, businesses, the technology
sector and the economy to approve the settlement and move on. You
can let them know what you think at the Freedom to Innovate Web
site at: http://www.microsoft.com/freedomtoinnovate.

Thank you for taking the time to get involved.

Update on Related Issues

-- Microsoft will continue working to resolve the more than 150
private class action lawsuits, filed in the wake of the antitrust
case, after a proposed settlement that would have benefited
underserved schools was rejected. These suits could come to trial
early in the summer.

-- AOL Time Warner and Be Inc. both have filed private antitrust
lawsuits against Microsoft. No court dates have been established
for either of these suits, but we will update FIN members as
developments occur.

Again, thank you for your support. Please continue to let your
public officials know what you think about this case and other
issues that affect the technology sector's ability to innovate
for the benefit of consumers and the industry. You can contact
them and stay up to date at the Freedom to Innovate Website at
http://www.microsoft.com/freedomtoinnovate.



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