The 70 page document filed with the Court said the company’s proposal to curb its business practices would do nothing to undo the damage to competition caused by its past illegal conduct.
Judge Thomas Penfield Jackson decided on 3rd April this year that Microsoft had broken US antitrust law by abusing its monopoly in operating systems for personal computers.
Under a plan submitted last month by the Department of Justice and 17 of the states that brought the antitrust case against Microsoft, the company would be broken into two companies. One would develop the Windows operating system; the other would deal with all other services. The two companies would stay independent for at least 10 years.
Microsoft objected to this plan and offered what it saw as more realistic concessions, including removing restrictive clauses from its contracts with PC manufacturers.
Yesterday’s document said, “Microsoft’s proposed remedy would leave it free to continue the very practices which the evidence at trial showed, and this court found, to be unlawful and would do nothing to restore competition.” It reiterated that its proposal to split the company would stimulate competition and innovation.
Jim Cullinan, a spokesman for Microsoft, said: “It’s unfortunate but not surprising that the government is attempting to defend its extreme remedy proposal. We don’t believe there’s any kind of basis in law or in the case to warrant such a remedy.”
Judge Jackson will next hold a hearing of the case on 24th May to consider what remedies he should impose.