Microsoft Does It Again

Microsoft settled its antitrust lawsuit with AOL for $750 million and the promise of a future technology partnership. [washingtonpost.com] Four years ago AOL bought Netscape for $10 billion. At the time, Microsoft was embroiled in the trial of the U.S. government's monopolization prosecution, and argued that "AOL-Netscape" would be a fierce competitor across the spectrum of software and media. Of course, nothing of the sort transpired. AOL never tried to resuscitate Netscape -- never even replaced Internet Explorer as its default browser -- and now whimpers away with a handful of cash. And pittance it is. Microsoft has $46 billion in cash reserves, so this settlement will not put even a small dent in its monopoly coffers.

 Posted by glenn