Free «The Microsoft Anti-Trust Case» Essay Sample

The Microsoft Anti-Trust Case

The Microsoft Anti-Trust case has ever been raised since 1990 and has been like a battle that has raged through in American courts between the government of the United States and the Microsoft Corporation from Redmond as headed by Bill Gates in Washington. The only disturbing and important issue is money matters. The federal government clearly states that the Microsoft Corporation is monopolistic venture and is harmful to the citizens of the United States of America (Wilcox, 2000). The perception is that the monopolistic nature of the Microsoft Corporation creates high prices and downgrades the quality of software. It is therefore thought a very helpful endeavor to take in stopping Microsoft from its monopolistic tendencies. Well, monopolies paralyze the existence of free market economies and kills competition. Thus, this essay states that the charges made against the Microsoft Corporation was valid as they reduce the required competition to promote the production of quality products.

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The actions of the Microsoft Corporation are never good for any economy that wants to be established. This is a corrupt system in which the Microsoft Corporation operates. Therefore, monopolies tend to produce a less competitive market with time in a market that is supposed to experience a free existence. Less competition resulting from the monopolistic nature of a company like Microsoft Corporation puts it in a position of reluctance in innovation, creativity or even motivation to make diversification possible in the area of production. The Microsoft Corporation monopoly in the market of the United States is contestable as monopolies cannot be in a position to regulate its operations. Thus, the anti-trust claims against Microsoft Corporation are valid because it has sacrificed employees and their rights and matters of the surrounding the service quality or the product as well as the provision of a number of options to address the preferences and tastes of the highly valued customers in the market (John and William, 2001).

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Microsoft Corporation could thus been a key factor to the absence of competition due to the monopolistic tendencies. Modern monopolies like the anti-trust case made against Microsoft Corporation are frown upon the free market system of America in the economy. According to the Oxford University Press, a monopoly is the supreme control and management of a service or product in a particular market or a control that enhances the manipulation of price on products and services. While Microsoft together with the supporters seen no breach of law, the fact is that it should be stopped (John and William, 2001). The formation of monopolies must therefore be stopped at all cost. The complaints filed by Novell against Microsoft are valid. Microsoft’s dominance in the market should therefore not be left to prevail at the expense of emerging competitors in the market. The Microsoft Corporation should not assume any position of frustrating the efforts of the competitors in that field (Wilcox, 2000).

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Proposals were sought to break up the Microsoft Corporation after it was found having an unlawful monopoly over products like operating system of personal computers (PCs). It has increasingly nullified the concept of competition through its practices. The claims made by Microsoft Corporation in a 1990 ruling was that an anticipation to increase the share of the market or even move a competitor from the business by way of a thorough competition based on the merits that it is not satisfactory. This was an effort to set up an illegal monopoly. The copy right law in the argument made by Microsoft of prohibiting any unauthorized modification of computer applications and windows are not healthy for a free market economy system. In conclusion, the actions of Microsoft Corporation should not be allowed as it undermines full participation and competition in the market. Such competition is needed to ensure continued production of high quality goods (Pindyck and Rubinfeld, 2001). Thus, the activities of Microsoft are a threat to the economy and any oversight would be risking a market downfall.

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