Microsoft Corporation (MSFT) Finance Paper

Microsoft Corporation (MSFT) Overview Microsoft was founded in 1975. Initially it was founded by selling the BASIC interpreter, and immediately got an excellent evaluation. With the spread of Microsoft BASIC, other manufacturers use the Microsoft BASIC syntax to maintain compatibility with existing Microsoft BASIC implementations. With this feedback loop, Microsoft BASIC became a de facto standard, and the company monopolized the market. After that, he tried to expand the management of the home computer market by designing the MSX home computer standard (failure).

Normally, when most people hear the word "antitrust" they think of monopoly. One of the most famous antitrust litigation in recent memory, Microsoft Corp. (MSFT) has been convicted of anticompetitive monopoly by forcing its own Web browser on a computer with a Windows operating system Including that. Combine the two products: If the monopoly dominates the market share of one product but wishes to acquire the market share of another product, link the dominant product sales to the second product can do. As a result, customers of the second product are obliged to purchase unnecessary or unwanted items, and violate the Antimonopoly Act.

Two years ago, when Microsoft's stock price soared and Microsoft's price launched its main product window Vista it was in the development dilemma and Microsoft (MSFT) morale was low. In early 2000, seven Microsoft employees filed lawsuit against the company seeking racial discrimination in employment practices, and on behalf of all current and past Microsoft black employees class certification proof I asked for a book. In 1998, the government also regained an anti-monopoly law violation lawsuit against Microsoft. At the time, he was hit by a negative media coverage, but most of it was born out of Gates's own proud trading.

Meanwhile, Microsoft Corporation (MSFT) did not actually collapse even if it failed. Litigation against it focuses on whether Microsoft abuses its position as a monopoly, the majority of which are not mandatory. Over time, Microsoft has been challenged by many companies, including Google, as its operating system continues to host competitors' software. Just as American steel companies can not dominate the market indefinitely due to domestic and international innovative competition, Microsoft is so. As long as brand loyalty and consumer's indifference make people unable to find better options, there will be only monopolies that are not obligatory. Even now, Microsoft's exclusive position is weakening, as competitors' operating systems are on the rise and competitor software, especially open source software, threatens Microsoft's bundle business model. Therefore, the antitrust lawsuit seems premature and / or duplicated.