Gates to resume court defence of Microsoft

Microsoft chairman Mr Bill Gates is expected to make more court appearances in Washington DC to defend his company in its antitrust…

Microsoft chairman Mr Bill Gates is expected to make more court appearances in Washington DC to defend his company in its antitrust battle when a US judge resumes hearings later today.

In his first appearance yesterday, Mr Gates told US District Judge Colleen Kollar Kotelly that a proposed remedy from a group of states would "cripple" the company.

"Microsoft would be greatly devalued as a company," Mr Gates said in prepared testimony of 156 pages. He said the plan would "require Microsoft to withdraw

Windows

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from the marketplace.

Mr Gates said aside from these concerns, it would be "extremely difficult, if not impossible in some cases," for Microsoft to comply with the plan.

Yesterday, Mr Gates said the company's market capitalisation is based on the market's belief that the firm is on track to deliver "breakthrough technologies" that generate new revenues.

He told the court the pricing provision of the states' plan - which gives discounts to slimmer versions of Windows- could possibly bring the price of Windowsto nothing and cost his firm $10 billion.

Mr Gates said the states' proposal is overly vague and does not give his firm with enough direction and guidance as to how to ensure it is complying with what would be newly created rules.

Late last year, Microsoft and the Justice Department agreed to settle their four-year old antitrust dispute but only half of the 18 states that were suing the company alongside the federal government signed that deal.

AFP