New York - Facing the threat of government actions that could delay the release of Windows 98, Microsoft Corp. last week staged a controversial industry rally here to support what the company called its right to deliver innovative products.
On a crowded stage, Microsoft Chairman and CEO Bill Gates, chief executives from several other leading technology vendors and a Harvard University economist discussed what kind of impact a government-forced delay would have on the computer trade, users and the U.S. economy in general. Representatives from more than 30 companies attended the event to show their support for Microsoft.
Though the event was staged to display widespread support for Microsoft, it also further fueled the controversy surrounding Windows 98, as a trade group and Microsoft competitors decried what they called the software giant's bullying tactics.
The controversy entered the political arena as well.
"It strikes me as curious that it was only after calls from Microsoft that many of these individuals saw fit to sign letters and make public appearances," said Sen. Orrin Hatch (R-Utah). Hatch is chairman of the Senate Judiciary Committee, which in March held a hearing on competition in the high-tech industry.
Even IT companies showing support for Microsoft at the rally said a delay in the Windows 98 release would not have a huge impact on corporate users.
"Corporations aren't going to be buying up copies of Windows 98 the first day in June when it comes out," said Lenore Michaels, director of marketing for Micro Modeling Associates, Inc., a New York systems integration firm. Michaels said she at-tended the event because Microsoft called her company, and it wanted to show support for the fight against government intervention in industry.
Other third-party vendors and consultants voiced a similar goal. "I'm ballistic . . . over the idea of the government interfering in how companies do business," said Sheldon Laube, chief technology officer and executive vice president for U.S. Web Corp., an ISP. But Laube also said a delay in the release of Windows 98 was not the core issue for large companies.
Even Compaq Computer Corp. CEO Eckhard Pfeiffer, when asked how a Windows 98 delay would affect Compaq's corporate customers, stated that it would be "difficult to predict."
The Microsoft support rally came as speculation swirled that about a dozen state attorneys general and the Department of Justice are considering legal action that could delay or even halt the release of Windows 98.
Gates said Microsoft is taking the possibility of an injunction gravely. "This is a very serious situation . . . we read every day that there is a very good chance that some people might [try to halt Windows 98]. So it is under serious consideration" by Microsoft, he said.
The timely launch to the public of Windows 98, slated for June 25, is important for the "ecosystem" of companies and products that depend on Windows, and also for the U.S. economy, Gates said.
RELATED LINKS
Big Brother? Look Who's Talking.
Sun's take on Windows 98 and IE.
Netscape CEO JimBarksdale's testimony before the Senate
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