Microsoft-AOL Truce Draws Mixed Reaction
While many in the IT industry are welcoming yesterday's settlement, others fear it will strengthen Microsoft's drive to control the distribution of digital and other multimedia content over the Internet.While many in the IT industry are welcoming yesterdays settlement news between Microsoft Corp. and AOL Time Warner Inc. as being good for innovation and a move away from litigation as a means of resolving differences, others fear it will strengthen Microsofts drive to control the distribution of digital and other multimedia content over the Internet. AOL Time Warner Inc. on Thursday said it had settled the private antitrust lawsuit that its Netscape Communications unit brought against Microsoft last year, and Microsoft agreed to pay AOL Time Warner $750 million and help the content company combat online piracy.
Al Gillen, an analyst with International Data Corp. in Framingham, Mass., was not surprised by the news, saying it was "pretty much all over for Netscape except for coming to some kind of settlement with Microsoft." But the fact that the deal brought better interoperability between the AOL client and Microsofts Windows software would be good for consumers, he said.