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Few Takers For Microsoft's Settlement Cash

Makarand writes "According to this article on SiliconValley.com very few claims have been received to claim money from a Microsoft antitrust settlement in California. Only about 4% of the estimated 14 million eligible California consumers have bothered to file a claim till now. The deadline for filing claims is officially April 28 but is likely to be pushed back into May or June. Either, consumers have found the claims process too confusing, time-consuming and discouraging to keep them from making a claim or they are waiting till the last minute to file(like taxes). According to the settlement one-third of the unclaimed money will be kept by Microsoft and the rest will be given to Californian schools."

26 of 276 comments (clear)

  1. An easier way? by Anonymous Coward · · Score: 4, Informative

    Weren't these guys going to make it easier?

    1. Re:An easier way? by StumpMan · · Score: 5, Informative

      I receieved a settlement letter regarding the case with North Carolina.

      Basically, I had to take a day off work, go to the Courthouse in Raleigh, fill out several forms, and then wait about 6 months for a check for 10 dollars.

      Parking all day downtown will cost about 10 dollars, so I didn't see this as 'useful'.

      So I am not going to bother with all that nonsense.

      Any wonder why I run Linux now? Any takers? Anyone?

  2. Conspiracy 2.0 by Thunderstruck · · Score: 4, Funny

    Or perhaps these folks are refraining because the fine print of the license for XP includes the following:

    "User agrees to indemnify Microsoft against any and all abuse of the legal system and will in no case whatsoever assist any governmnent, foreign or domestic, in levying sanctions against Microsoft."

    (I don't run it, but it wouldn't surprise me to see this in there.)

    --
    Trying to use sarcasm in text-based forums does not work.
  3. It is -such- a lie... by torpor · · Score: 5, Informative

    ... to say that "the rest of the 'money' will go to California schools".

    What will go to "California Schools" is 'boxes of Microsoft product', valued at the $-value for the settlement, by a team of accountants, lawyers, and auditors.

    This settlement is a sham. It is nothing but an easy seeding program for Microsoft market-share harvests in the 6-month to 1-year time frame, among a vulnerable and naive market (education), and Microsoft know it.

    --
    ; -- the corruption of government starts with its secrets. a truly free people keep no secrets. --
    1. Re:It is -such- a lie... by torpor · · Score: 5, Informative

      Uh huh.

      Tell me, which part of this sentence don't you understand:

      Two-thirds of the unclaimed money will go to California public schools in a mix of donated Microsoft software and cash grants ...

      --
      ; -- the corruption of government starts with its secrets. a truly free people keep no secrets. --
    2. Re:It is -such- a lie... by swillden · · Score: 4, Informative

      What will go to "California Schools" is 'boxes of Microsoft product', valued at the $-value for the settlement, by a team of accountants, lawyers, and auditors.

      Mostly.

      The way the settlement is structured, 2/3 of the settlement not taken by consumers will go to California schools with lower-income student populations. The other third of the unredeemed cash MS just gets to keep. Of the 2/3 that goes to the schools, 50% is in the form of "General Purpose" vouchers, which can be spent by the schools on any computer hardware or non-custom software (including Microsoft software, at the school's discretion) and supporting I/T services. The other 50% will be in the form of "Software Vouchers", which can only be spent on MS software.

      So, if the schools really want to use the cash to buy non-MS stuff, they can. But the deal is set up so that they can maximize their benefit by buying MS. Obviously, if they choose to buy no MS stuff at all, they only get the spend 50% of the money. They're unlikely to choose to buy both MS and non-MS, because that means having two or more different kinds of systems to support and manage. The slickest part of it is the fact that they can use "Software Vouchers" to pay for any MS software bundled with PC hardware. So if they buy an $800 PC that includes a copy of Windows XP, they only have to spend $501 of their general-purpose money; the remainder is the retail price of XP and can be paid for with software vouchers.

      Even free software can't compete with that, because XP is only $50 or so of the $800 computer price. So to buy a Linux PC, the school woule have to spend $750 of their vouchers. The same situation applies to Apple hardware... even if Apple decides to sell them the hardware for rock-bottom prices and gives the software to them for free, schools will get less for their money for not going MS.

      So, at the end of it all, this $1.1B settlement is probably going to cost MS less than $300M in cash, *and* allow them to pump a lot of MS software into the schools.

      --
      Note to ACs: I usually delete AC replies without reading them. If you want to talk to me, log in.
  4. Why claim Microsoft's money? by Jugalator · · Score: 4, Funny

    Everyone knows that silly Monopoly money isn't real!

    --
    Beware: In C++, your friends can see your privates!
  5. Logically... by JC-Coynel · · Score: 5, Funny

    Well I guess the process is too long, to heavy and they have no guarantee to get anything in the end.

    I guess that's why those people don't apply security patches either!

    --JC

    --
    --JC
  6. There are three reasons by medication · · Score: 5, Insightful

    First would be ignorance. I would imagine that a majority of the people who qualify for this settlement do not know about it and it's not as if Microsoft is going to go out of its way to inform them.
    Second would be reality. To claim your settlement money you must produce your "Product Key number or Product ID number". Mind you these are your keys/ids from February 18, 1995 thru December 15, 2001. I don't know about you but those keys are long gone for me.
    Third is human behavior. Corporations have known for a very long time that rebates are a fantastic sales tool precisely because many people do not follow through and claim them. I have a strong suspicion that the same principal is at work here - be it laziness or something else.

    --
    "If you're flammable and have legs, you are never blocking a fire exit." - Mitch Hedberg
    1. Re:There are three reasons by Smallpond · · Score: 5, Insightful

      Also, if you follow the link to webform.microsoftcalsettlement.com, you have to fill out a form to get the claim form. Then wait for the form. Then fill out the claim form and send it in. Then wait for the settlement.

      Note the privacy notice on the webpage. There isn't one. Who are these people? It doesn't say. What are they doing with the information they collect? What are the chances of getting a software audit if you fill out a claim form?

      Tinfoil hats available in aisle 3.

    2. Re:There are three reasons by dixie_flatline_000 · · Score: 5, Informative

      Have you seen the claim form? My brother-in-law was mailed one because he actually registered a copy of Windows while he was living in California. It assigns a certain voucher value to each Microsoft product (something like Windows - $16, Office - $26, DOS - $13, I don't remember the exact values), and you can claim up to $100 worth of vouchers without any proof (i.e., product ID's or license keys). Then, if you have license keys, you can list those on the form and claim vouchers for those too.

      Also, the vouchers you get are not for Microsoft products -- they're for any PC hardware or software. So once you get the vouchers, you can, for instance, buy a PC (for more than the total amount of the vouchers), then send the vouchers back to the claims adminstrator along with receipt and proof of purchase for the PC. Then they send you a check for the amount of the vouchers. (You can also use it for hardware/software you already bought, within a certain timeframe.)

      It's a pain in the ass, of course, but you can actually get a fair amount of money back from them. Especially if, hypothetically, you claim a fictional combination of products which comes to exactly $100 (and don't need proof of purchase), then claim whatever additional products you can dig up license keys for (as long as you've got the CDs in their original cases or envelopes sitting around the house somewhere in boxes -- the CD cases usually have the license key on them.) If one were to do that, one might wind up getting $200-300 back from them.

  7. Really? by blcamp · · Score: 4, Insightful


    consumers have found the claims process too confusing, time-consuming and discouraging to keep them from making a claim

    Well, DUH!

    Does anyone really think Redmond is just going to happily dispose of their $$$ and make it easy to do so at the same time?

    They didn't get to where they are now through stupidity.

    --
    The problem with socialism is that they always run out of other people's money. - Margaret Thatcher
    1. Re:Really? by JaredOfEuropa · · Score: 4, Funny
      Does anyone really think Redmond is just going to happily dispose of their $$$ and make it easy to do so at the same time?
      Que Clippy: "It looks like you are trying to file a claim against Microsoft. Would you like to
      - Call a service rep to help you fill out your claim form 26B/6? (0.99c / minute)
      - Have your legs broken by Steve Balmer?
      - Have your claim paid out in Windows ME licenses at their retail dollar value?
      - All of the above?
      --
      If construction was anything like programming, an incorrectly fitted lock would bring down the entire building...
  8. Microsoft is a public company by skidoo2 · · Score: 5, Interesting

    Microsoft is a public company. With millions of shareholders. That is, millions of owners. You want to own a piece of it yourself, and have voting rights regarding the company's future? Go buy a block of stock.

    I know I'll probably get modded down and get all kinds of bad karma for this, but I hate to see /. dominated by so much misplaced anger.

    Microsoft is not just Gates and Balmer. It is a voice for a large number of people. It's this voice that gives Microsoft the power it has.

  9. More than that by poptones · · Score: 5, Insightful
    I actually have many of those PID numbers still here on my shelf from when we were filling the office with emachines picked up from officemax. And I filled out the lindows claim form just to check out lindows (couldn't get it installed on ANY of my computers but that's another story) but why would I waste time filling out this "rebate coupon" form? I have to download the damn pdf, print it, spend my time filling it out, stamping it, then waiting for the return of... a discount coupon for more Microsoft crap?

    Yeah... sssuuuuure.... I'm gonna do that right now!

  10. Or maybe... by RupertJ · · Score: 5, Insightful

    Maybe people value their time more than vouchers? Seriously, how many mothers and fathers are going to take an hour out of a busy day (that they could be spending with their kids) to fill in paperwork to get some rebate on software if they decide to upgrade their system in the future?

    Fact is most families don't care if their box isn't secure, patched or running the latest media player 9.03848.8464a - They'll use it once or twice a week to mail grandma.

    Sorry Slashdotters, but people who upgrade enough to care about some freebie settlement vouchers ARE that current 14% of settlement takers.

  11. Re:Total BS... by FrYGuY101 · · Score: 5, Informative

    Last I checked, between February 18, 1995 thru December 15, 2001 you were able to buy Windows 95, 98, ME, NT4 and NT5 (Aka Windows 2000). None of which have manditory registration.

    As a result, Microsoft is completely incapable of having a record of who purchased their product.

    Moreover, even if they did have such a list, they don't nessicarily have a list specifying the state in which the user resides, and as this rebate only applies to users in California...

    --
    "If we let things terrify us, life will not be worth living."

    - Seneca
  12. Re:Needed: expanded moderation choices by hraefn · · Score: 5, Insightful

    The altruism of the wealthy is rarely more than a tax deduction.

  13. Re:Needed: expanded moderation choices by Daniel+Dvorkin · · Score: 5, Insightful

    I've said it before: if I rob a bank, and get away with the largest haul of any bank robbery in history, and rather than keeping all of my ill-gotten gains, I give away some small but meaningful portion of it to charity, and the recipients of my generosity are profoundly grateful for my gift ...

    ... I'm still a bank robber.

    --
    The correlation between ignorance of statistics and using "correlation is not causation" as an argument is close to 1.
  14. I was eligible and didn't file - here's why by Anonymous Coward · · Score: 4, Interesting

    I don't believe class-action lawsuits truly benefit anyone except the lawyers, who are the only ones that will receive any useful prize from the settlement. So let them get their money from Microsoft without my help, and if California schools get my $3.77, or whatever paltry fractional amount would have been sent, great, at least the money is being re-pooled into a useful amount again.

  15. Re:Good. by jimicus · · Score: 5, Insightful

    Microsoft does NOT force anyone's hand to use their software. Even on PCs that come with it, you can get a refund

    You ever tried to do that?

  16. Like those rebates by Smidge204 · · Score: 5, Interesting

    It's almost like those rebate programs:

    1) Overprice your product and offer a rebate

    2) Bank on the fact that only a small percentage of customers actually mail in for the rebate, and do so correctly.

    3) Profit

    So MS's business model is looking more and more like:

    1) Do whatever you want and let others/the government file antitrust suits.

    2) Settle suits knowing almost nothing will be done to enforce/cash in on them

    3) Profit

    If Dubya wants to convince the public that the US economy is getting better, he should just designate litigation settlement income as a business sector instead of trying to classify burger flippers as "manufacturing jobs".
    =Smidge=

  17. Re:Good. by NineNine · · Score: 5, Insightful

    they don't know that other OSes exist.

    Actually, I'm thinking that they just don't give a rat's ass. Non-geeks that I know couldn't care less about the OS they're running. It just doesn't matter.

  18. I for one dont want the rebate. by Kenja · · Score: 4, Insightful

    I didn't bother to fill out the form they sent me because I don't agree with the settlement and in fact think that it sets a very bad precedence. I purchased Microsoft software because it performed a task or service that I was willing to pay for. At no point was I tricked or forced to buy the stuff. I agreed to the price when I paid for it, so I think it would be wrong for me to change my mind years after the fact. I paid more for Autodesk, Novell and Sun software but you don't see anyone demanding rebates from them. This whole thing just struck me as a bunch of greedy layers and consumers who saw an opportunity to get something for nothing.

    --

    "Have you ever thought about just turning off the TV, sitting down with your kids, and hitting them?"
  19. Re:Needed: expanded moderation choices by Dr.+Evil · · Score: 4, Insightful

    <conspiracy>They can print software and donate it. I don't know how the accountants sort out the value of the donation though. If it is anything other than cost of production (not estimated costs based on R&D, or wholesale/retail prices etc), then MS has a license to print money and expand their market through tax writeoffs.</conspiracy>

  20. Don't be fooled. Filing is very easy! by BrerBear · · Score: 4, Informative

    Wow, It's not that hard to file. I got maybe 4 forms sent to me already in the mail. I thought the deadline was long ago (mid-March), but it seems to have been extended to April 28.

    As long as you are filing for less than $100 reimbursement, you do not need to provide any product keys or proof. You just have to provide a list of what you bought, and most consumers will easily fall within the $100 limit and qualify for the standard (easy) form.

    In other words, fill out a form saying "I bought Windows 98 on or about this date" and you get a voucher.

    That's it. No proof necessary if your filing is under $100 and fewer than 5 products purchased. So get your forms, because time is running out! Go to the web site and request a standard claim form now.