What the Appeals Court Said

The U.S. Court of Appeals for the District of Columbia Circuit handed down a complex and mixed verdict in the Microsoft antitrust case, leaving plenty of room for interpretation and spin. Microsoft is claiming victory, noting that the threat of breakup has been lifted (for now), and stating, in the words of chief counsel Bill Neukom, that the company “prevailed on virtually all of the issues regarding product design.” At the same time, Microsoft opponents have applauded the court’s findings that Microsoft has violated federal antitrust laws in order to maintain its Windows monopoly.

The decision will affect Microsoft’s future behavior and the eventual outcome of the case, including a possible settlement, and has implications for other technology companies that dominate their respective markets. Therefore, it is important to understand what the court actually said (and did not say) in its 125-page verdict.

Overview of the Verdict

In a unanimous (7-0) verdict, the appeals court made the following determinations: