States group wants to extend Microsoft antitrust oversight

Editor's note: This story was updated at 10:16 a.m. PDT.

WASHINGTON--A group of state prosecutors led by California on Tuesday told a federal judge that they plan to file a request that Microsoft antitrust oversight be extended until 2012.

Right now, most portions of the settlement reached with the Bush administration and state prosecutors in 2002 are set to expire November 12. Those provisions primarily deal with "middleware," or applications that sit on top of the operating system. One section relating to server protocol licensing has already been extended until 2009.

U.S. District Judge Colleen Kollar-Kotelly said she wasn't immediately prepared to rule on the California group's request or to reach conclusions about the consent decree's effectiveness over the past five years. U.S. Department of Justice and Microsoft attorneys told her they weren't immediately prepared to comment because they both heard about the proposal last week.

Microsoft attorney Rick Rule did say that it was "premature" to talk about extending the server protocol licensing a second time so long before its 2009 expiration date.

The California group's request, which is expected to be described in more detail in a written court filing by October 15, was hardly unexpected. A few weeks ago, that group of plaintiffs--which also includes Connecticut, Iowa, Kansas, Minnesota, Massachusetts and the District of Columbia--filed a report with the court that argued the agreement reached with the government has been largely ineffective in accomplishing its stated goals. They also suggested that a 10-year term, which they characterized as "standard" practice, for the consent decree would be preferable to the existing five-year life span, particularly since Microsoft only recently released Windows Vista.

"The key product markets here are still entirely dominated by Microsoft," Stephen Houck, the attorney representing California, told the judge on Tuesday. He argued that because Redmond's "market power remains undiminished" in the PC operating system and Web browser markets, "there's no guarantee that emerging technologies" will be protected unless the oversight period is extended.

Rule indicated it was curious that the California group was simultaneously decrying the effectiveness of the consent decree while calling for its extension. "We think the picture of the computer industry is much rosier," he told Kollar-Kotelly. "We think the decree has done its job."

The Justice Department and a group of state plaintiffs led by New York also told the judge they believe the decree has been doing its job, echoing statements made in their late-August filing.

"Obviously we'll continue to monitor matters," Justice Department attorney Aaron Hoag said, adding Vista has undergone testing by a technical committee that all parties agree has played a key role in enforcing the settlement.

Kollar-Kotelly, for her part, said she was "prepared to listen" to whether the oversight period should be lengthened but reminded the plaintiffs to consider what she called the "narrow" framework of previous court findings. Namely, Microsoft was never found to have illegally "obtained" a monopoly in the Intel-based operating system market, she said--rather, it was found to have maintained one by unlawful means. And the goal of the antitrust settlement was not to reduce the company's market share but to "improve" users' opportunities to get access to competing middleware, she added.

"If there are going to be requests to extend (the consent decree)," she said Tuesday, "it would have to be for an identifiable purpose the court would have to consider."

[educateme]

Oversight required, it will take 10 yrs to change things

For over 15 years Microsoft hampered and stifled the growth of
the market and competitors within it; since the first ruling for
oversight was given its gonna take at least 10-15 yrs to get
things back to normal.

Microsoft has not learned any lessons here, all they have done is
bow down to the Govt oversight (sort of) while its business as
usual in many other parts of their company. There is plenty of
ways for things to get right back to a monopolized tilt for MSFT
with their forays in CRM, Vista, Search, Server protocols, Linux
patent claims and pollution of Java.

Kotelly had little creative influence on the first ruling she gave 5
yrs ago, and it is likely she will drop the ball on this extension
request, But lets hope that enough states Attorneys General have
the stones to continue the pressure on the Court to try to keep
the marketplace open through continued Oversight of MSFT.

[MMC Racing]

States keep going to the well...

I guess they got all they could out of tobacco companies, so they need to keep sucking from Microsoft to balance their budgets.

[Renegade Knight]

A Waste of Money

Oversight costs money and it'a a battle the entire time. Either break up MicroSoft into smaller companies like you do with Monopolies or quit harassing them.

Either way it's over with and everone can get on with life.