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Microsoft fires at Feds
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March 9, 1998: 7:51 p.m. ET
Software giant says government reversed position, distorted facts
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NEW YORK (CNNfn) - Microsoft Corp. Monday fired the last round in its war with the Justice Department before an appeals court takes up the government's allegations that the company has violated a 1995 antitrust settlement. The hearing is scheduled to begin April 21.
The software maker accused government regulators of distorting facts and repeatedly changing its position.
In final written arguments, Microsoft says regulators have waffled on key issues, such as whether or not Internet Explorer is integrated with Windows 95.
Initially, the government maintained Internet Explorer was a separate product. However, in late January, Justice reached a partial settlement that allowed computer makers to remove or hide its Internet software on new versions of Windows 95.
"This about-face was necessitated by the DOJ's belated recognition that it was mistaken when it told the District Court that Internet Explorer technologies could be 'removed readily' from Windows 95 'without affecting the performance or functioning of the ... operating system.'"
Microsoft says the DOJ's shift destroys the government's contention that the case is about licensing practices.
Microsoft said in addition to providing Web browsing capabilities, the shared-program libraries that contain 'Internet Explorer technologies' also perform a variety of integral functions.
Microsoft is asking the appeals court to vacate the Dec. 11 order issued by U.S. District Judge Thomas Penfield Jackson and to dismiss the U.S. Justice Department's charges that the company is in violation of the antitrust settlement.
Microsoft contends the case should have ended when Jackson failed to find Microsoft in contempt for violating the consent decree, as the Justice Department had asked.
Instead, Jackson issued a preliminary injunction requiring that Microsoft offer computer manufacturers a version of Windows 95 without the Internet Explorer browser.
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