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Iowa Antitrust Case Costs Microsoft $255M

The judge in charge has approved the payout for the case, which was settled seven months ago. Iowa citizens will get up to $179 million in refunds and the attorneys will get $75 million, $8 million of which covers expenses. There's another $1 million in there for legal aid. Individual consumers pocket very little: they can file for $16 for each copy of Windows or MS-DOS purchased over a 12-year period, and $29 for Office. Such a payout would serve as a deterrent only if all 50 states had sued and won similar amounts. Alone it's a slap on the wrist.

96 comments

  1. What's that sound? by niceone · · Score: 1, Funny

    MS gets stung for millions, yeah! But lawyers get millions, boo! But MS gets stung for millions, yeah! But lawyers get millions, boo! But... head explodes.

    1. Re:What's that sound? by Anonymous Coward · · Score: 3, Insightful

      The sound of MS getting stung for millions is strangely similar to the sound of Gates slapping his wallet on the desk and asking "you got change? Smallest bill I got is a billion"

    2. Re:What's that sound? by MBraynard · · Score: 1

      What retard moded you up? Millions of Americans own shares in MSFT. Investments include retirement funds, college savings, etc. Gates is a minority shareholder in the company, not even close to being the majority owner.

    3. Re:What's that sound? by jamstar7 · · Score: 1

      What retard moded you up? Millions of Americans own shares in MSFT. Investments include retirement funds, college savings, etc. Gates is a minority shareholder in the company, not even close to being the majority owner.

      So they nicked MS for what, half a day's pay? The shareholders won't notice the mebbe 5 cents off their divident check.

      --
      Understanding the scope of the problem is the first step on the path to true panic.
    4. Re:What's that sound? by edxwelch · · Score: 1

      So, in other words, if Bill gates offered you a million, you would refuse?

      Pah, don't throw me your small change, Bill!

    5. Re:What's that sound? by myhrd · · Score: 1

      Wait a minute, where did Microsoft get the millions to pay the lawyers and fines. From their customers of course. What does Microsoft care, they will just raise their prices to recoup the money. In the end its you and I that pay, When will figure that out and stop this craziness.

    6. Re:What's that sound? by rtb61 · · Score: 1
      I think you will find M$ has already raised the prices as high as they can with out killing demand. What strange land do you come from, surely not fantasy marketing land. Prices are set by supply and demand, companies will charge the maximum price they can with so long as they do not cripple demand and reduce revenue.

      Companies especially companies like M$ do not and never will set prices based upon generosity.

      So every cost, every civil suit, every legal punishment, we can stick M$ with, hurts their profits, and does not effect our costs one iota. So the more anti-M$ class action law suits the better, regardless of the cost to M$, as long as it starts to curb their customer abusive behaviour.

      Their WGA failures are well and truly deserving of a multi-million dollar class action law suit, with continuing penalties for every failure.

      --
      Chaos - everything, everywhere, everywhen
  2. Alone it's a slap on the wrist. by smchris · · Score: 3, Informative

    Who says it's "alone"? Here in Minnesota in '04 MS bought me a cheap printer, refurb Epson scanner, and three LinuxStore keyboards.

    1. Re:Alone it's a slap on the wrist. by Anonymous Coward · · Score: 2, Insightful

      all cheap throwaway consumables.

    2. Re:Alone it's a slap on the wrist. by Rick+Richardson · · Score: 1


      I got $239 CASH from the Minnesota settlement.

      -Rick

    3. Re:Alone it's a slap on the wrist. by Rick+Richardson · · Score: 1

      Correction...

      Minnesota Settlement

      by Rick Richardson (87058) on Wednesday February 14, @05:45PM (#18017518)

      02/13/2006 FUNDS RECEIVED *type: *DEPOSIT $251.00

      $251.00 is serious money from Microsoft Corp, NOT "Average consumers will probably end up with a few bucks or a coupon".

    4. Re:Alone it's a slap on the wrist. by heinousjay · · Score: 1

      If you think $251 is serious money, you have no appreciation of the scale of Microsoft's operations. Even assuming every citizen in your state got that (and I'm sure that's not the case) it's really not that much.

      --
      Slashdot - where whining about luck is the new way to make the world you want.
    5. Re:Alone it's a slap on the wrist. by WhatAmIDoingHere · · Score: 2, Insightful

      If all 5m residents of his state got $251, that's a total of $1,255,000,000 which is enough to hurt ANY company. "But Micro$oft has liek $9b in cash!" so? That's still a LOT of money. That's almost as much as they lose on their X-Box devision every year (zing).

      And a payout like that would encourage other states to follow with their own lawsuits. "Remember that $251 check you got from Microsoft? I was the guy who went after the big bad company. Vote for me!"

      --
      Not a Twitter sockpuppet... but I wish I was.
    6. Re:Alone it's a slap on the wrist. by everphilski · · Score: 1

      That's almost as much as they lose on their X-Box devision every year (zing).

      And Microsoft don't even feel it. Any idea how much Windows/Office pulls in?

  3. A Slap on the Wrist? by doyoulikeworms · · Score: 2, Insightful

    Since when is a quarter of a billion dollars a slap on the wrist? Sure, it's not earth-shattering, but come on, man!

    1. Re:A Slap on the Wrist? by Swampash · · Score: 5, Insightful

      Since when is a quarter of a billion dollars a slap on the wrist?

      When it's imposed upon an entity that makes 13 billion dollars every three months and records that against offshore subsidiaries that pay no tax?

      Just a thought.

  4. some zeros needed here,,,, by apodyopsis · · Score: 1

    hmm.

    if they wanted to hurt MS then they should of added a zero to that sum.

    or should it to be 2 zeros?

    1. Re:some zeros needed here,,,, by nxsty · · Score: 1

      Or perhaps divide it by zero? :P

    2. Re:some zeros needed here,,,, by apodyopsis · · Score: 2, Insightful

      ..and people buy it of their own free will

      sorry? come again?

      have you actually tried to buy a new PC without MS software on it? I have. It has been more or less impossible for many years, it is only comparatively recently that OEMs have begun to offer free alternatives. I am MS free at home. I do not buy MS of my own free will yet I find it crammed down my throat with every PC purchase. Of my own free will indeed.....hah!

    3. Re:some zeros needed here,,,, by heinousjay · · Score: 1

      I don't think you have the motivation right, but you're definitely on track. People (twitter is a bold example) get really exercised about Microsoft, and often espouse "solutions" that involve things like imposing their will on everybody else to get what they want.

      It's an interesting frame of mind. I'm always intrigued when people take the attitude that everything would be perfect, if only they could make everybody else do as they want. Such an unrealistic state of mind, and it typically results in some very amusing opinions about other people. Like calling them sheeple. God, that one gets me every time.

      --
      Slashdot - where whining about luck is the new way to make the world you want.
    4. Re:some zeros needed here,,,, by MightyMartian · · Score: 1

      What it comes down to is that 99.999999999999999999999% of people who want to "hurt" MS or whine about them being "evil" are just people who are jealous that they don't have that kind of money.


      As someone who has worked in the tech industry since the late 1980s, I have seen Microsoft go from one of the great enablers of the computer age to one of the anchor stones. It was never a particularly nice company, but there was a time when a lot of us cheered that Microsoft was telling IBM to sod off, and was encouraging the manufacturing of cheaper PC clones.

      Now that, in and of itself, would not have been a big deal to me as a consultant. I could have easily have had my client buy a copy of OS/2 and we'd just install it on the machine. But, of course, the client has already paid the Microsoft tax, so now the client is forced to buy *two* operating systems, one of which he would never use, and the OEM install disks would sit on a shelf gathering dust.

      It's at that point that I realized that Microsoft wasn't only not a nice company, but one that could and likely would have a delirious effect upon the market.

      The browser wars, the media player wars, the underhanded funding of SCO's nuisance lawsuits, the OOXML scam, the continued reality of the Microsoft tax, the outrageous pricing of Windows and Office, the "Ready for Vista" scam, all of these point to a company that is not serving the interests of customers, but is rather working against them, and making incredible amounts of money in the process.
      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    5. Re:some zeros needed here,,,, by Kattspya · · Score: 1

      It's not rocket science you know. A laptop could be hard to find but a desktop is fucking easy. Just go to your local computer store and ask them to build a computer for you or you could find one on the Internet.

      Or you could not buy a computer at all?

      Are produce farmers forcing us to buy their products or are we choosing not to starve?

      I don't particularly like Microsoft's way of doing business but they're not a monopoly and they aren't forcing anyone to do anything.

    6. Re:some zeros needed here,,,, by apodyopsis · · Score: 1

      The bottom line here (if I'm interpreting your phrase "MS Tax" correctly) is that you're blaming MS for something that another company does.

      No, not quite. Another company does it because MS in their wisdom allows them "discounts" if the OEM only supplies MS operating systems and refuses the supply bare PCs in the name of preventing piracy. I use the term "discounts" because when nearly every OEM int he planet uses them they cease to become a discount and become a normal oppressive business tactic.

      The fact remains that if the OEMs felt free to sell bare PCs then they would do so. I can only think of one OEM in the UK that actually sells a bare PC and that is Novatech in Portsmouth. Please correct me if you know others. Yes I admit I could buy components and build myself a PC - but the sad fact of the matter is that it is generally cheaper to buy a PC with Windows and turn the install CD into a drinks coaster whilst installing Ubuntu - then it is to buy the equivalent components.
  5. Ridiculous by Anonymous Coward · · Score: 0

    Just like the EU antitrust people, the Iowans are only doing this because Microsoft is not a local company. Why do they hate Washington state so much?

  6. Pocket change for Billy Boy by Anonymous Coward · · Score: 0

    Pocket change for Billy Boy

  7. From the we-dont-need-no-steenkin-grammar dept. by Anonymous Coward · · Score: 0

    Yes, it would be cheap at half the price.
    I think you mean, cheap at twice the price, though.

    1. Re:From the we-dont-need-no-steenkin-grammar dept. by edittard · · Score: 1

      I could care less.

      --
      At the bottom of the /. main page it says 'Yesterday's News'. Well they got that right.
    2. Re:From the we-dont-need-no-steenkin-grammar dept. by somersault · · Score: 1

      So you're saying you care? *sigh* I'll fight all these misheard sayings one at a time until I die. Here, here!

      --
      which is totally what she said
    3. Re:From the we-dont-need-no-steenkin-grammar dept. by Yosho · · Score: 1

      Here, here!

      So are you not going to fight them anywhere else? That's too bad.

      --
      Karma: Terrifying (mostly affected by atrocities you've committed)
    4. Re:From the we-dont-need-no-steenkin-grammar dept. by somersault · · Score: 1

      Exactly. I can't possibly loose.

      --
      which is totally what she said
  8. and here's the math... by martin-boundary · · Score: 4, Funny
    Cost of 17.9 million x $10 dollar rebate vouchers on future Microsoft software purchases for Iowa citizens: $179 million

    Cost of 7.5 million x $10 dollar rebate vouchers for a team of attorneys: $75 million

    Look on the senior partner's face when 25 trailer trucks full of printed rebate vouchers enters the parking lot: priceless.

    There are some jokes money can't buy. For everything else, there's Slashdot.

    1. Re:and here's the math... by tokul · · Score: 1

      You can't print money unless you are entity with the right to print money. If microsoft pays fine in vouchers, receivers of these vouchers can pay with monopoly money for purchased software.

  9. $75 million! by drspliff · · Score: 4, Interesting

    And the attorneys will get $75 million, $8 million of which covers expenses.

    I call bullshit, why are they getting this when their expenses are significantly lower and it isn't part of the money given out to everybody who bought Windows?

    I'd be seriously pissed if I found out lawyers were skimming massive amounts from public settlements on behalf of my state or county. Where's it going eh?

    1. Re:$75 million! by BuR4N · · Score: 1

      "I'd be seriously pissed if I found out lawyers were skimming massive amounts from public settlements on behalf of my state or county. Where's it going eh?"

      IT-infrastructure to manage the case. In other words:

      * Sharpoint servers
      * Office 2007
      * Upgrades to Windows Vista Ultimate
      * New hardware for above mentioned software

      --
      http://www.intellipool.se/ - Intellipool Network Monitor
    2. Re:$75 million! by Manchot · · Score: 3, Interesting

      I call bullshit, why are they getting this when their expenses are significantly lower and it isn't part of the money given out to everybody who bought Windows?

      I know that it's popular on Slashdot to vent against lawyers who do class action suits, but come on. You said it yourself: the law firm incurred $8 million in expenses to see this thing through. Yes, they ended up earning $75 million (because they won), but how much would they have gotten if they lost? Nothing; in fact, should they have lost, the judge could've ordered them to pay Microsoft's fees (which are likely even higher). Eight million is quite a large amount of money to gamble, especially considering that the lawyer in this case has her own law firm, and probably paid those expenses out-of-pocket. All told, the market's decided that a 30% contingency is fair for such a high risk, and I'm inclined to agree.

      Moreover, I'd like to know how you'd "fix" the system as it stands. Obviously, you cannot ban class actions or limit the damages, because in many ways they're the only recourse that a bunch of people screwed by a corporation have, without the government (the largest class of them all) stepping in. You cannot place any limits on class action lawyers' pricing structures, either, because that'll have the effect of decreasing the number of class actions we have. No lawyer is going to take such an expensive case on a 10% contingency.

      The only way that I can see is to have the government step in more often when a company has screwed people. Unfortunately, the DoJ hasn't really been prosecuting misbehaving corporations since early 2001: I wonder why?

    3. Re:$75 million! by grumling · · Score: 1

      Did you know that for only $1.25 million you can feed a family of lawyers for a year? Please help us feed the lawyers. Give what you can.

      --
      "Well, good luck finding a judge that doesn't run a bestiality site."
    4. Re:$75 million! by the+grace+of+R'hllor · · Score: 1

      The lawyers were retained by Iowa state government. That means that if they incurred $8 million in costs and lost, Iowa would have had to pay them. At least, that's how it happens in my own la-la-fairy land, where people get paid to perform a service to the best of their ability, even if the end-result does not correlate to my desired outcome. I suppose it's possible the laywer said "You know, I'll do this, but if we get a settlement I want 25%", but it does reek a little.

    5. Re:$75 million! by cfulmer · · Score: 1

      Hmm... I would have thought a tech-savvy crowd would understand the relationship of expenses to total cost. When you write a new software application, your expenses are things like compiler licenses, printer paper, etc.... The true cost of development is in paying your software developers. The same is true of attorneys. In this case, the $8m does not include any portion of any attorney's pay. It does include court costs, stenographers (for depositions), photocopying, etc..., which are a tiny portion of what would have been charged if the case had been billed on an hourly basis.

      There's a story about the settlement at law.com that gives some more details:

      Conlin justified the request for $75 million by saying 150 lawyers, clerks and legal assistants worked 117,000 hours on the case. The law firms advanced $7.8 million with no guarantee of repayment, she said. In addition to those expenses, she said the payment includes $67.2 million in fees. The case generated 25 million pages of documents, 286 discovery requests and three trips to the Iowa Supreme Court, Conlin said.
    6. Re:$75 million! by raehl · · Score: 1

      75,000,000 / 117,000 = $641/hour.

      That's really not that bad when you figure that's gotta cover EVERYTHING.

    7. Re:$75 million! by symbolic · · Score: 1

      Eight million in terms of what a normal person might charge, or eight million in terms of what bottom-feeding lawyers have been known to charge?

      I know you're aware of the problem - that an injured class gets proportionally less of an award than the lawyers. But seriously - do you think class action suits would dry up if lawyers were capped at 10% (or even less)?

    8. Re:$75 million! by Nevyn · · Score: 1

      When you write a new software application, your expenses are things like compiler licenses, printer paper, etc.... The true cost of development is in paying your software developers.

      If your staff aren't an expense, what are they? Liabilities?;) ... I would have assumed that the 8 million expense covered everyone's time, but as Twitter said getting a 10x ROI on this kind of thing probably isn't that terrible.

      --
      ustr: Managed string API with ave. 44% overhead over strdup(), for 0-20B
    9. Re:$75 million! by cfulmer · · Score: 1

      You're confusing the items on an attorney's bill with accounting terminology. Except for contingency fee scenarios, attorneys are generally paid on a "time + expense" basis. The time part (the fee) is whatever the attorney's hourly rate is (x the number of hours), and the expenses are for the things I mentioned.

      You would be amazed at how piddly little things can add up on a big case like this -- the discovery costs are probably the largest part of the $8M.

  10. Thank god by evwah · · Score: 2, Funny

    Thank god I bought 14,572 copies of windows in the past 12 years.
    14,572x16=233,152

    4.)Profit!!

  11. missing tag: greed by kwikrick · · Score: 1

    Or: how I wish I was a class action lawyer.

    --
    assignment != equality != identity
  12. Now round 2 by Anonymous Coward · · Score: 0

    As Microsoft once again abuse their monopoly position to stack the OOXML ISO vote.

    1. Re:Now round 2 by Real1tyCzech · · Score: 1

      Just an FYI:

      1.) This has nothing to do with formats

      2.) This case was brought against MS in 2000.

      3.) It is now 2007.

      Try some perspective. I hear it goes well with your morning coffee.

  13. A slap on the wrist by Anonymous Coward · · Score: 0

    And a nice little earner for the Attorneys .. $75M

  14. 50 states by toby · · Score: 1

    a deterrent only if all 50 states had sued and won

    Or just maybe, if M$ lost a FEDERAL antitrust case? Nah, THAT could never happen...

    --
    you had me at #!
    1. Re:50 states by Anonymous Coward · · Score: 0

      Wow a user with a 3-digit id that still writes "M$" in place of MS? Now I've seen everything!

  15. Now on eBay: by Viceroy+Potatohead · · Score: 1

    Anyone from Iowa want to buy all my old DOS floppies for a buck apiece? /I kid

  16. Microsoft won't pay the entire amount. by Futurepower(R) · · Score: 1, Offtopic

    "Since when is a quarter of a billion dollars a slap on the wrist? Sure, it's not earth-shattering, but come on, man!"

    Slashdot readers are millionaires who read Slashdot while sitting on the decks of their yachts or flying in their personal jets.

    The point people are making is that the fine is far too small to encourage Microsoft to stop being adversarial toward its customers. Anyhow, I'm guessing that Bill Gates would rather be poor than be good towards customers. Sometimes the adversarial behavior seems to me to be the real purpose behind his management philosophy.

    Actually, most people won't do the paperwork, or won't have their receipts. The actual money paid by Microsoft will be less than the maximum amount. From the article:

    "Similar cases against Microsoft in other states have resulted in huge unclaimed portions of the settlement and that is expected to happen in Iowa, too, said Microsoft lawyer Rich Wallis.

    "As a result, Microsoft agreed in the settlement to provide half of any unclaimed amount to Iowa public schools in the form of vouchers that can be used to buy computer equipment."


    Other news: Twitter wrote a front-page Slashdot story!

    DoYouLikeWorms, Yes, in some cases I think worms are interesting. Why do you ask?

    1. Re:Microsoft won't pay the entire amount. by Anonymous Coward · · Score: 0

      Yup.
      A lot of people don't send out for their rebates and with those it's the same day.

    2. Re:Microsoft won't pay the entire amount. by Dare+nMc · · Score: 1

      Actually, most people won't do the paperwork, or won't have their receipts.

      actually no receipts or proof of purchase needed for claims under a certain amount. Although I bought many of these eligible products in Iowa, but no longer live their... Also since it no longer comes out of MS's pockets (number of submitted claims doesn't affect their payout), I won't bother. So you are correct (and most people don't know that a receipt is not required.)
  17. why are they getting this when their expenses are significantly lower
    How do you know? Been going through their statements?

    I'm not a fan of lawyers in general, but it's not as if Billy G would have ponied up the dosh without them, is it? There'd have been no settlement to start with and the people would have got nothing.
    --
    Only three things are certain; death, taxes, and apocryphal quotations - Ben Franklin.
    1. Re:Envy? by Danse · · Score: 1

      How do you know? Been going through their statements? Cause it says their expenses were about $8 million, so receiving nearly ten times what their expenses were seems excessive. Then consider that the people who were actually harmed in this case are only getting just over twice what the lawyers are getting. That also seems very unbalanced. Lawyers should be getting a percentage, that is certain, but I don't see why that percentage should be nearly 30% of the award.
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
    2. Re:Envy? by Bastard+of+Subhumani · · Score: 1

      Cause it says their expenses were about $8 million, so receiving nearly ten times what their expenses were seems excessive.
      Is that just direct, external expenses, like hotels and travel? Then what do you think the lawyesrs & support staff are going to get paid out of? The tip jar?
      --
      Only three things are certain; death, taxes, and apocryphal quotations - Ben Franklin.
    3. Re:Envy? by Danse · · Score: 1

      Is that just direct, external expenses, like hotels and travel? Then what do you think the lawyesrs & support staff are going to get paid out of? The tip jar? I don't see why they'd break out just hotels/travel/etc. That would make no sense. It doesn't explicitly say, but I think that a number that large must include payroll as well.
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
  18. Someone make a poster... by 3seas · · Score: 1

    ... and hang it high for everyone to see as a reminder that lawyers
    always win more.

    How many of the residents do you suppose will actually cash in?
    Are you required to be put on a spam list to collect? Probably.
    For the $16 dollars you get, what is being gotten from you?
    Could have windows been sold for $16 dollars less to begin with?

    Microsoft is not a bottomless pit of money. With all the lawsuits
    and judgements against them It'd be interesting to see where there
    books really are. At least to know how much more they can sacrifice
    or risk in future uncompetitive wrong doings.

    Just how many more laws can they afford to break?
    More important, how is it that you can over charge so to afford to break the law?

    Its the MS cycle that needs to be addresses. Only the Legal system has no clue or care.

    1. Re:Someone make a poster... by MightyMartian · · Score: 1

      Microsoft is not a bottomless pit of money. With all the lawsuits
      and judgements against them It'd be interesting to see where there
      books really are. At least to know how much more they can sacrifice
      or risk in future uncompetitive wrong doings.


      They may not be bottomless, but they might as well be. These itty-bitty rulings are little more than petty cash. I have little doubt that when such cases rear their ugly heads, the Redmondonian accountants put aside large chunks of cash to pay for them.
      --
      The world's burning. Moped Jesus spotted on I50. Details at 11.
    2. Re:Someone make a poster... by I'm+Don+Giovanni · · Score: 1

      "How many of the residents do you suppose will actually cash in?
      Are you required to be put on a spam list to collect? Probably.
      For the $16 dollars you get, what is being gotten from you?
      Could have windows been sold for $16 dollars less to begin with?"


      If the California case is any indication, very few will bother to "cash in". But the reason is that the common fold don't give a damn about this case!! In the past few years, I've received class-action settlement notices for Dell (some laptop issue) and Apple iPod (applied to early versions of the iPod). I tossed them, not only because the "refund" was peanuts, but because I didn't believe in the case in the first place. I didn't feel ripped off by either Dell or Apple, and just because some lawyer says I was, doesn't mean I agree with it.

      I'm not about collecting on a case I think is bullshit. And the MS-DOS portion of this Iowa case is indeed bullshit. MS-DOS wasn't declared a monopoly product, nor is there evidence of overcharging for it. I doubt you'll see very many Iowans collecting on MS-DOS. As for Windows, I might be inclined collect if I purchased a retail version (well, not really, since $16 is a waste of my time), but not OEM versions, as the OEM versions are very cheap; there's no evidence of overcharging there, and OEM versions make up the lion's share of Windows installations.

      This case was simply a money-grab for lawyers, based on a peculiarity in Iowa law that allows MS to be sued for indirect purchases (i.e. OEM purchases; I think CA was the only other state that allowed that, and that case was over and done with years ago. For the other states, if you think you were overcharged for an OEM version, you have to sue the OEM itself). Iowans were not clamouring for this case to be brought at all.

      --
      -- "I never gave these stories much credence." - HAL 9000
  19. Legal Fees by Double+Entendre · · Score: 2

    A lot of people are scoffing at the legal payout: 75m (67m effectively, without expenses). While it's incredibly high out of context, it actually makes sense over the course of a 6 year ordeal. I don't know how they structured the award settlement with the firm, but I'll simply go with the idea that it was purely labour-based.

    Assume that the average legal fee at the firm is about USD 500 per hour. 67m buys 134k hours which equates to roughly 15.29 consecutive years of labour for one person that works 24 hours a day, 365 days a year. I'm guessing this likely had a legal team of 10+ people. If we were to take it at the low estimate of 10 people, that's about 1.5 years of work per team member on the suit - or ~547 working days spread over 6 years.

    That sounds a lot more reasonable to me. Plus, class-action isn't all it's cut out to be. Mergers and acquisitions can be much more lucrative.

    1. Re:Legal Fees by Anonymous Coward · · Score: 0

      The definition of expenses would be what it cost them to handle the case including salaries and that is $8 million and when you take that away from $75 million what is left is defined as profit.

    2. Re:Legal Fees by Double+Entendre · · Score: 1

      Really? That paints a very different story then. When I read expenses, I assumed that those were the extraneous costs of doing business, such as travel, accommodation, food, petrol, mileage, et cetera.

  20. Educate the customers, no point in punishing msft by 140Mandak262Jamuna · · Score: 1

    Fundamental problem with the monopoly abuse of MSFT is that the customers are not demanding better interoperability. The concept of interoperability is not all that hard for customers to comprehend. In fact people have always demanded interoperability. But MSFT successfully convinced the customers, interoperability is synonymous with MSFT compatibility. Only when customers demand true interoperability, things will change. All the law suits and antitrust actions will either strengthen the hand of MSFT by pushing people who are wary of govt regulation into the MSFT camp.

    --
    sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
  21. Lawyer fees by 140Mandak262Jamuna · · Score: 3, Interesting

    Why are the lawyers paid in one full lump sum? What is the incentive for anyone, MSFT, the lawyers and the state to publicize the settlement and make sure all eligible customers actually get something? Why can't they make the lawyer fees a percentage of actual money paid out as compensation? Then these lawyers will be working overtime to publicize and make it easy to file and claim the refund. As it stands it benefits no one but the lawyers.

    --
    sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
  22. Thats all? by nurb432 · · Score: 1

    Thats just a cost of doing business for a company that large. Fines at that level are almost meaningless. They spend more on an AD campaign, and they got free press with the suit.

    --
    ---- Booth was a patriot ----
  23. Iowa Citizens! by postmortem · · Score: 1

    When did we got casted out from USA?

    1. Re:Iowa Citizens! by db32 · · Score: 1

      Presumably at some point after being found guilty of murdering the language.

      --
      The only change I can believe in is what I find in my couch cushions.
  24. Re:To Twitter and all Shitdot Sheeple by toQDuj · · Score: 1

    .... wow.

    and they call me a fanboi.. -- mac fanbois are more sophisticated?

    B.

    --
    Every experiment which ends in a big bang is a good experiment.
  25. Most people don't brag about their ignorance. by porkchop_d_clown · · Score: 1

    Your honesty is refreshing.

  26. Re:To Twitter and all Shitdot Sheeple by Anonymous Coward · · Score: 0

    Congratulations on being an exact copy of twitter and the "Shitdot Sheeple", loser.

  27. Re:Educate the customers, no point in punishing ms by westlake · · Score: 1
    customers are not demanding better interoperability. The concept of interoperability is not all that hard for customers to comprehend. In fact people have always demanded interoperability. But MSFT successfully convinced the customers, interoperability is synonymous with MSFT compatibility. Only when customers demand true interoperability, things will change

    when MS is on 90-95% of the world's desktops and OSX 4% and MS Office dominates on both platforms, then - in a coldly preactical sense - MS compatability is what matters. what the user doesn't need, the user doesn't ask for.

  28. Nice editorial by Gothmolly · · Score: 0, Troll

    "Such a payout would serve as a deterrent only if all 50 states had sued and won similar amounts. Alone it's a slap on the wrist."

    -1, Obvious

    Pre-digested stories for the lazy, irrelevant stuff.

    --
    I want to delete my account but Slashdot doesn't allow it.
  29. The court is out of line by armanox · · Score: 1

    The court is out of line on this one. The court (and by extension, government) needs to learn to keep its meddling fingers off of business! Did they ever think how MS is going to pay for this? They'll just up the cost of Windows and Office, thus creating even greater profits then had the courts left them alone!

    --
    I'm starting to think GNU is the problem with "GNU/Linux" these days.
  30. *yawn* by Real1tyCzech · · Score: 2, Interesting

    This case was brought against MS in 2000. It is now 2007.

    So much for the right to a speedy trial.

    So much for relevance.

  31. Re:Educate the customers, no point in punishing ms by Warbothong · · Score: 1
    When you use Windows on your work PC, use Windows on your home PC, your family's PCs use Windows, your friends' PCs use Windows, your neighbours' PCs use Windows, your kids' school uses Windows on its PCs, the 500 small-fry computer shops down the road sell and use Windows PCs, the huge multinational computer manufacturers sell and use Windows PCs, TV programs only show PCs running Windows, there are Windows adverts on TV, in magazines, on websites like Slashdot, etc. then Microsoft is great at inteoperability: Windows Media, MSN Messenger, Microsoft Office, they work on all of those systems that you see everywhere.

    What about alternatives? Well, of course, the only other computer on the planet is a Mac. But that's a Mac, not a PC, they're different, the adverts say so, so they must be incompatible. I mean, expecting a Mac to be compatible with a PC (ie. Windows) is as stupid as expecting all of those Nintendo 64 cartridges to work in a Wii, or for a Playstation CD to work in an XBox. When you're brought up to *know* that computers are incompatible. That computers crash all of the time. That computers are insecure. That computers suddenly become rubbish after 2 years so you need to get a new one. Then the compatibility offered by Microsoft lock-in is the best you know, because nobody cares about all of that technical mumbo-jumbo, it's OBVIOUS that Word documents are compatible when everyone you know uses them, and Jabber certainly isn't compatible when you can't talk to your MSN friends (well, admiteddly there are MSN gateways for Jabber, but then it's just a hassle to use a different program which doesn't support all of the vast archive of animated smileys you've accrued when MSN Messenger comes by default). Who cares if you are forced to buy new versions of Windows and Office every few years? By that time your computer has mysteriously gone from being the thing your kid kept going on about and made you spend the extra hundred quid for a better something-or-other, to being rubbish piece of crap that nothing decent runs on and is a waste of money compared to the newer ones that your kid keeps going on about, trying to make you spend an extra hundred quid for a better something-or-other (and, of course, kids know more about these things), and that comes with the new Windows version and the new Office version so there's no problem.

    The reason there are so many Mac-induced heart-attacks is because someone uses a Mac for the first time and they think they see how good Macs are and how bad PCs are, when in fact they are seeing what a non-Microsoft system is like. There are obviously some problems, like programs which won't run, but this is a MAC, it is different, so they're not *problems* they're just inevitable. Of course it isn't going to run the same programs, that's as stupid as expecting an XBox 360 disc to run in a Playstation 3. The reason there are less Linux-induced heart-attacks is because Linux is running ON THE SAME BOX. Common sense might suggest that being able to use the same computer as Windows used to use is an advantage to Linux, but what it actually does it make people focus on the problems more. Why the hell can't this Linux play your games? It is the same PC, and using the same logic as the Mac scenario; a Playstation 3 disc should run in a Playstation 3, an XBox disc should run in an XBox, therefore a PC-CDROM (as they are labelled) should run in a PC with a CDROM drive.

    It takes some real thinking outside the box to manipulate people as well as the likes of Microsoft ("That's what computers DO silly!" *presses reset button*) and Apple ("PPC is better than Intel crap, Jobs says so and he has some kind of pie chart! Oh wait, now he says Intel is better, and he has a bar chart this time!" Pure genius, plus they realised that not all of their customers are ignorant, so they made sure to carry on offering PPC support, like their Classic support on the OSX switch and the 68k support on the PPC switch to make sure they didn't alienate anyone. Very well executed). It is in corporate interest

  32. How can the problem be fixed? by princealvin · · Score: 1

    "Moreover, I'd like to know how you'd "fix" the system as it stands"

    Here's one suggestion: Let the jury make two deliberations. First, for the award for the plaintiff; second, for the plaintiff's lawyers. That way, if the plaintiff's lawyer wants an uneducated jury - as many of them do in order to extract a jackpot lottery award - (s)he might be less likely to receive such a sympathetic deliberation that lavishly enriches him.

    Yes, many of them take a risk with millions of expenses - but why? To secure justice? For the pittances ultimately paid to the plaintiffs? Or, as a calculated risk that could produce enormously outsized returns? If my memory serves me correctly, one of the lawyers involved in the tobacco litigation from Pensacola, Fl received a $900 million contingency fee. Want to guess what the individual plaintiffs received?

    1. Re:How can the problem be fixed? by Anonymous Coward · · Score: 0
      If my memory serves me correctly, one of the lawyers involved in the tobacco litigation from Pensacola, Fl received a $900 million contingency fee. Want to guess what the individual plaintiffs received?

      A $5 discount coupon for a carton of cigarettes?

  33. Let me get this straight by Javagator · · Score: 1

    People in Iowa run out and get Microsoft products rather than Apple, or Linux, or Open Office, thereby making Microsoft a monopoly, Microsoft gets hit with $255 million, which will be paid for by their customers and shareholders, the people of Iowa get a little bit back on their purchases, and the lawyers get $75 million. Will someone please explain to me why this is a good thing. (Except a good thing for lawyers, I understand that part).

  34. Lawyers get 75 million? MS-DOS refunds??? by I'm+Don+Giovanni · · Score: 1

    Typical class-action style case (I don't know if this was officially class-action, but it has the same characterstics), where the lawyers get rich and those in the "class" get next-to-nothing. These types of cases are a waste of time.

    The results of the settlement are bullshit too.
    "Individual consumers pocket very little: they can file for $16 for each copy of Windows or MS-DOS purchased over a 12-year period, and $29 for Office."

    Why should anyone get a partial refund for MS-DOS? Is there ANY evidence that Microsoft overcharged for MS-DOS? They weren't declared a "monopoly" until 2000, long after they were selling MS-DOS, and the product that was ruled to have monopoly status was the desktop version of Windows, not MS-DOS (nor Office or any other product). Nobody has made a credible argument that Microsoft had a monopoly in the MS-DOS days. This entire case was ridiculous now that I look at this.

    --
    -- "I never gave these stories much credence." - HAL 9000
  35. Errr... by Xenographic · · Score: 1

    It's the defendant (here, Microsoft) who has that right, and you still have to invoke it. If you want, you can waive it.

    Further, it's in Microsoft's interests to stall these as long as possible, because that'll cost the plaintiff a lot of money in litigation expenses and deter people from suing them.

    That said, at least this one is better than the previous ones. Other lawyers were settling for a few millions for themselves and coupons for everyone else, with the rest going to buy Microsoft software for the local schools.

  36. Re:Well that's great.... by NMerriam · · Score: 1

    Just screw over a bunch of shareholders
    ...who enjoyed watching share prices increase due to illegal activity? Yes, that's how it works. Even in libertarian land.
    --
    Recursive: Adj. See Recursive.
  37. With apologies to Dylan by Anonymous Coward · · Score: 0

    Once upon a time you posted so fine
    You threw the shills a dime in your flame, didnt you?
    Peopled call, say, beware troll, youre bound to fall
    You thought they were all shillin' you
    You used to laugh about
    Everybody that was moddin' out
    Now you dont post so loud
    Now you dont shill so proud
    About having to be waitin' for your next post.

    How does it feel
    How does it feel
    To be without karma
    Like a complete moron
    Like a stoning troll?

  38. Good News by RAMMS+EIN · · Score: 1

    This may not be a whole lot of money for a company with Microsoft's cash flow, but it's still good news. Even if it doesn't exactly bankrupt them, Microsoft has been taken to court, convicted, and made to pay over their crimes. That has to count for something. Moreover, lots of people will hear of this. And that is probably the most important result: that people will be told that Microsoft is, in fact, a company that has engaged in illegal business practices. And it's not just a bunch of fringe figures saying it; a court agrees with them. And the "bunch of loonies" fought and got you back some of the money Microsoft cheated you out of.

    --
    Please correct me if I got my facts wrong.
  39. What happens to unclaimed refunds? by Rich+Klein · · Score: 1

    I imagine a lot of eligible Iowans won't be bothered to file for their refunds. What happens to that unclaimed money? Does Microsoft get to keep it? Does it go into some kind of trust or escrow?

    --
    -Rich
  40. fuck you greedy nigger by Anonymous Coward · · Score: 0

    die you flesh sucking fuck scum

  41. Anyone who collects this money is a leech by Anonymous Coward · · Score: 0

    Anyone who collects this money is a leech. No one forced you to pay too much for anything.

  42. I can out-troll you linsux-loving fucktards by Anonymous Coward · · Score: 0

    You mean that communist open-sores project called Linsux? Nope, I will stick with Windows. The only reason Windows is attacked and not your precious linsux is you linsux loving fucktards don't want your precious communist project to have a bad reputation, so you choose to attack Windows by creating trojans and not for linsux. All of you linsux loving fucktards should end it all by slitting your fucking wrists.

  43. We should do lunch by Hognoxious · · Score: 1

    If your staff aren't an expense, what are they? Liabilities?;)
    You must work in the same place as me!
    --
    Confucius say, "Find worm in apple - bad. Find half a worm - worse."