Bill Gates

They were especially unhappy that he modified the pretrial order that depositions shall only be submitted in transcript form, issuing a new order allowing videotaped depositions. Microsoft suspected that Justice had somehow prevailed on Jackson to amend his earlier court ruling. Jackson categorically denied this, but does not recall exactly why he issued the October 9th ruling.

They groused, but only in the most unguarded private moments because they were terrified of offending him that Jackson was biased and would rule in favor of the government. So your question of how does it hold up? I guess there was no formal challenge of that change in rule.

They groused, but only in the most unguarded private moments because they were terrified of offending him that Jackson was biased and would rule in favor of the government. So your question of how does it hold up? I guess there was no formal challenge of that change in rule.

And part of it probably was just because they realized they had a long way to go with the judge and didn't want to agitate too much.

And part of it probably was just because they realized they had a long way to go with the judge and didn't want to agitate too much.

And more specifically, the finding was that the network effects from the large installed base... so that's users, and large body of applications, so apps, makes it prohibitively expensive for a competitor to develop its PC operating system into an acceptable substitute for Windows. Which, yeah, of course, obviously. That's what our whole episode one was about. Correct. Right.

And more specifically, the finding was that the network effects from the large installed base... so that's users, and large body of applications, so apps, makes it prohibitively expensive for a competitor to develop its PC operating system into an acceptable substitute for Windows. Which, yeah, of course, obviously. That's what our whole episode one was about. Correct. Right.

So the finding of fact is, hey, it's monopoly, but again, not necessarily illegal to be a monopoly, only illegal to abuse monopoly power. Right.

So the finding of fact is, hey, it's monopoly, but again, not necessarily illegal to be a monopoly, only illegal to abuse monopoly power. Right.

Also, what? This is completely lost to history unless you are a tech old-timer. Microsoft was ordered, that was the ruling by the court, to split up.

Also, what? This is completely lost to history unless you are a tech old-timer. Microsoft was ordered, that was the ruling by the court, to split up.

And there's a whole bunch of additional provisions in this. Steve Ballmer had to work at one company and Bill Gates had to work at the other. They could not work at the same company. Each of those two, after they picked their companies, had to divest all of their shares from the one that was not their employer. So they couldn't have this conflict of interest.

And there's a whole bunch of additional provisions in this. Steve Ballmer had to work at one company and Bill Gates had to work at the other. They could not work at the same company. Each of those two, after they picked their companies, had to divest all of their shares from the one that was not their employer. So they couldn't have this conflict of interest.

It is crazy imagining this world that could have been. I mean, clearly this didn't happen, but for a moment in time, this was the position of the United States government.

It is crazy imagining this world that could have been. I mean, clearly this didn't happen, but for a moment in time, this was the position of the United States government.

It's also worth pointing out from late 1999, when the findings of fact came out, over the next 12 months, Microsoft's market cap dropped from $600 billion to $270 billion, which was a 55% drop. Now, this coincided with the dot-com bubble and the CEO change that we're going to talk about shortly. But the perception of Microsoft, this super high flyer, completely fell off a cliff from this ruling.

It's also worth pointing out from late 1999, when the findings of fact came out, over the next 12 months, Microsoft's market cap dropped from $600 billion to $270 billion, which was a 55% drop. Now, this coincided with the dot-com bubble and the CEO change that we're going to talk about shortly. But the perception of Microsoft, this super high flyer, completely fell off a cliff from this ruling.

Yeah. Not exactly the same thing, of course, because this is not about devices.

Yeah. Not exactly the same thing, of course, because this is not about devices.

Yes. So do you know the technicality that was discovered?