New York Times: Justice Department and Microsoft Agree on Most of Settlement Pact

Nov 01, 2001, 05:30 (60 Talkback[s])
(Other stories by Stephen Labaton, Steve Lohr)

"The tentative settlement calls for a five- year consent decree between the government and Microsoft governing the company's conduct, according to people involved in the talks, with the possibility of a two- year extension if the company violates the agreement. To try to ensure enforcement, a three-member advisory committee of independent experts would be set up.

But the people involved in the talks said some state officials were dissatisfied with the proposed settlement because it did not have adequate enforcement mechanisms. They were also concerned that the deal would not effectively prevent Microsoft from leveraging its monopoly in the operating systems market into computer servers and hand-held devices.

As part of the deal, Microsoft has agreed to eliminate restrictive contract terms and pricing deals with personal computer makers that in the past have effectively left the manufacturers little choice but to favor Microsoft products over rival software."

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