Antitrust in e-Commerce Law of e-Commerce October 20, 2008 Guest – Randy Gordon Copyright, Peter...
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Transcript of Antitrust in e-Commerce Law of e-Commerce October 20, 2008 Guest – Randy Gordon Copyright, Peter...
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Antitrust in e-Commerce
Law of e-CommerceOctober 20, 2008
Guest – Randy Gordon
Copyright, Peter Vogel, 2004-2008
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Computer Industry
US vs. IBM
Apple vs. Microsoft
US vs. Microsoft
US v. Oracle
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1st Big Bang >>>1890 Census
Dr. Herman Hollerith (1860-1929)
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2nd Big Bang >> World War II
Invention of Computers
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US vs. IBM
1937- Consent Decree about punch card monopoly
January 1969- Antitrust lawsuit filed
July 1969- Consent Decree about bundling
1981 - Dismissed
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3rd Big Bang>> 1981 IBM’s
Personal Computer
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Before IBM PCTwo Major Operating Systems
1. Apple Computer
2. CP/M Operating System owned by Digital Research
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Microsoft v. CPM
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IBM Plan for the PC
Intel microprocessorsControl PC market by limiting OS to only IBM
built machines using PC-DOS (Disk Operating System)
IBM lost control of the Basis Input/Output System (BIOS)
Clone market developed – Compaq, HP, etcMicrosoft OS ran on Clones in competition with
IBM using a version then call MS-DOS
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Xerox Star
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Apple Lisa
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Windows 1.0
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Windows 2.1
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Windows 3.1
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Evolution of Windows
Xerox Research Labs created GUI (Graphic User Interface) with mouse sold “Star”
Xerox licensed Apple the GUI
1985 Apple licensed Microsoft GUI for Windows 1.0
Apple sued Microsoft for Windows 2.1 for copyright infringement, and later Windows 3.0
1994 - 9th Circuit held that GUI cannot be copyrighted
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Software & Hardware
Operating System
Word
Quicken
Browser
Excel
…
CPU (Central Processing Unit)
disk
monitor
printer
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OEM
API…
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Communications Protocols
server
server
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Enterprise Resource Planning (ERP)
Human Relations Management (HRM)
Financial Management Systems (FMS)
Customer Relations Management (CRM)
Supply Chain Management (SCM)
Product Life Cycle Management
Business Intelligence (BI)
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Sources of Antitrust Law
US–Federal law Sherman ActClayton ActFTC ActIndustry-specific acts
US--State law Foreign law
EU/Treaty of Rome National acts
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Distribution Issues
Section 1 of the Sherman Act:
prohibits “contracts, combinations, or conspiracies” in restraint of trade.
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Distribution Issues
Section 2 of the Sherman Act
>Prohibits abusive monopolies based on intent and great market power
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Business Combinations:Mergers, Acquisitions, Joint Ventures. Section 7 of the Clayton Act Types of merger subject to competitive scrutiny
include:
Horizontal merger, which is a merger of competitors
Vertical merger , which unites companies that stand in the relationship of supplier and buyer
Conglomerate merger , which is a merger of companies that are not competitors and do not stand in a buyer-supplier relationship.