The United States
The United States Sues
Microsoft and Intel
In the most important antitrust suit in 20 years, the United States Justice Department, the District of Columbia, and 20 state attorneys general sued the Microsoft Corporation last spring, claiming it illegally prevented competition in the software market. In a separate suit, the Federal Trade Commission (FTC) sued Intel Corporation, the largest producer of microprocessor chips for personal computers. That suit seeks to force Intel to share important technical information about its chips with manufacturers of computers so that they can design new products.

The suit against Microsoft contends that by including its own Internet browser as part of its Windows operating system, the company prevented its main competitor in the browser market, Netscape Navigator, from competing fairly in the market. “Microsoft used its monopoly power to develop a chokehold on the browser software needed to access the Internet,” said Attorney General Janet Reno.

The Justice Department wants to force Microsoft to change the way its browser works within Windows. It also wants computer makers to be allowed to make other changes to Windows.

Microsoft responded to the suit by arguing that under United States copyright law, it is entitled to sell unaltered versions of its software. Last July the company filed a countersuit against the District of Columbia and the 20 states that had joined in the Justice Department suit, asking a judge to force them to pay for the legal expenses the company has been forced to incur. “The government’s case is groundless, and we will prove in court that Microsoft’s actions have been completely legal and good for consumers,” said Microsoft spokesman Mark Murray.
Questions

  1. Why did the Justice Department, the District of Columbia, and 20 states sue Microsoft?Answer
  2. Why did the FTC sue Intel?Answer