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[AMPS] Do not pass Go...

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Subject: [AMPS] Do not pass Go...
From: dick.green@valley.net (Dick Green.)
Date: Thu, 15 Jun 2000 02:39:49 -0400
>In any case, even though Al Gore invented the internet do you really
believe
>that Judge William Penfield Jackson (?) will give us better and cheaper
operating
>systems and browsers?

Sorry for the off-topic post, but I can't resist:

Speaking as a 25-year veteran of the computer software industry, the
Microsoft case is anything but clearcut. Personally, I have very mixed
feelings about the decision. On the one hand, Microsoft's aggresssive
marketing techniques created an industry that opened countless opportunities
for two companies I founded. On the other hand, those same techniques forced
us to design our business plans to avoid any direct competition with
Microsoft, eliminating many other promising opportunities.

What's amazing to me is that the government's case is based on the damage
done to a handful of very large and successful companies. But the truth is
that those companies haven't suffered anywhere near as much as the hundreds
of small companies Microsoft has bullied and threatened, or enticed into
exploring partnerships so that they could steal their intellectual property.
I can't count the number of promising ideas I have discarded because they
would have led to products that, once successful, Microsoft would have
cloned and incorporated into Windows.

Of course, this practice wasn't even an original idea of Microsoft's -- they
stole it from that other great (former) high-tech monopoly, IBM. Back in the
old days, IBM would develop incredible new technology at their research labs
and just shelve it. They would wait until one or more small companies or
competitors invested in creating a market for the technology and, once the
market was nicely established, IBM would come in and take it over. Boy, if
people think it's hard to compete against Microsoft these days, they should
look into what it was like to compete against IBM in those days. I remember
trying to sell software based on GE and Honeywell mainframes to Fortune 500
companies back in the 70's. They'd have a room the size of a football field
full of IBM gear and, if we were lucky, one little Honeywell mainframe off
in a corner. It was always treated like a bastard child.

It's really hard to say whether we would have better operating systems or
browsers if Microsoft was not a monopoly. In my view, innovation was very
stifled back in the days when IBM dominated the market. Ironically, when IBM
got too big and slow-witted, Microsoft stole the crown from them and
initiated a great era of innovation. I suppose that proves that monopolies
(and empires) are destined to fall. It also proves that the boss of the new
revolution becomes just as bad as the boss of the old revolution. I happen
to believe that Microsoft would have eventually stumbled under their own
weight, without the help of the government. That was clear when Bill Gates
was just a bit too slow recognizing the potential of the Internet. Microsoft
has been playing catch-up ever since.

Has Microsoft stifled innovation? To some extent, yes. As mentioned earlier,
many innovative small companies bit the dust because of Microsoft. Also,
compared to the multitasking software we developed for mainframes back in
the 60's and 70's, Windows is a mediocre system with poor quality control.
It's the result of a development philosophy that emphasizes expediency over
quality and never has to answer to the competition. People think Windows is
great because they have never seen anything better. Had Microsoft not been
able to blackmail the computer manufacturers, it's quite possible that a
number of other companies would have succeeded in introducing operating
systems of much higher quality (Unix vendors tried, but couldn't overcome
the monopoly power.)

I don't think Microsoft deserves punishment for incorporating Explorer into
Windows or giving it away. That's been good for the consumer. But sometimes
I think they should be published for the tactics they have used in the
marketplace, especially against small businesses. They used to call people
like Bill Gates Robber Barons back in the old days. But should the
government give Microsoft its comeupance? My feeling is that what goes
around comes around, and that Bill will get what he deserves when he gets to
the pearly Gates.

73, Dick WC1M


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