Today we discussed in class about market failures and mentioned a little bit about monopoly and antitrust laws. One of the examples is Microsoft (MS). This giant computer corporation has actually been hit hard for various antitrust violations. The two biggest cases (and is still going on) are the United States v. MS and European Commission v. MS. The cases have lasted for a pretty long period of time. MS was actually ruled to share information (with rival software companies in Europe) and recently “lost its appeal against a record of 497 million euro fine imposed by the European Commission” (according to BBC on Sept 17, 2007)
European Commission v. MS and the decision in 2004
European Commission v. MS and the Decision of Appeal in 2007
the United States v. MS, current case
Large companies are subject to criticism at all time. And we can easily see that MS is one of the great examples.
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The U.S. government and many online advertisers are questioning the Google-Yahoo deal. This is labeled as Google's antitrust trouble. Microsoft is one of the leading opponents of this deal. Microsoft did try to buy Yahoo earlier this year so it could diminish Google's power in the market when it comes to online advertising. According to a recent article in Business Week, Microsoft may be overplaying all problems with this deal just so it could try again to buy Yahoo.
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