Microsoft pays AOL $750m settlement

Dom · May 30, 2003, 12:07 AM

SEATTLE (Reuters) - No. 1 software maker Microsoft says it has settled a 16-month-long antitrust lawsuit with AOL Time Warner, agreeing to pay the media giant $750 million (453 million pounds), license its browser technology to AOL and work together on digital media distribution and technology.
The long-time rivals called the agreement a step that would lead to "more rapid deployment of digital media for consumers". It also marks the end of one of Microsoft's most contentious legal disputes following the software giant's final antitrust settlement with the federal government late last year.

Microsoft Chairman Bill Gates and Dick Parsons, AOL Time Warner's chairman and chief executive officer, were scheduled to hold a joint news conference call at 2:15 p.m. local time (10.15 p.m. British time) on Thursday.

AOL Time Warner's Netscape unit, known for its once-leading Netscape browser technology, had brought suit against Microsoft in January 2002, alleging that the Redmond, Washington-based software maker had violated antitrust law by unfairly promoting its Internet Explorer browser.

AOL's Internet service, however, uses Microsoft's browser technology. In Thursday's agreement, Microsoft agreed to license that technology to AOL, royalty-free, for seven years.

The two companies also said they would work together to develop digital media technology that would give users better access to content such as music, videos and news.

"A lot has changed in the last few years, not only in the marketplace, but also for Microsoft and AOL Time Warner. We're pleased to reach this new agreement that's forward-looking and provides for a higher level of technical cooperation while, at the same time, the companies will continue to compete in a number of areas," Gates said in a prepared statement.

Microsoft shares closed one cent lower on Nasdaq at $24.40 ahead of the news, while AOL Time Warner shares also closed one cent lower at $14.85 on the New York Stock Exchange.

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Source: Reuters

nForcer · May 30, 2003, 05:37 AM

750 million is pocket change for MS - I'll bet 10 bucks says they were tired of the BS coming from AOL and decided to settle. Its not like AOL has much going for them at the moment anyway!

The_Neon_Cowboy · May 30, 2003, 01:18 PM

um aol used to use INTERNET EXPORER before ie5 / also before they bought netcape ........... what pricks

i say it all when i say

AOL SUCKS

Mac Daddy · May 30, 2003, 01:37 PM

Quote:

Originally posted by nForcer
750 million is pocket change for MS - I'll bet 10 bucks says they were tired of the BS coming from AOL and decided to settle. Its not like AOL has much going for them at the moment anyway!

I think that pretty much sums up my feelings on the issue nFORCER. GOOD CALL !!!

nForcer · May 30, 2003, 04:06 PM

BWX · May 31, 2003, 01:07 AM

Quote:

Originally posted by The_Neon_Cowboy
um aol used to use INTERNET EXPORER before ie5 / also before they bought netcape ........... what pricks

i say it all when i say

AOL SUCKS

Yes, they do, BAD

May 30, 2003, 12:07 AM	#1
Dom DriverHeaven Extreme Member Join Date: Jun 2002 Posts: 12,940 Rep Power: 0	Microsoft pays AOL $750m settlement SEATTLE (Reuters) - No. 1 software maker Microsoft says it has settled a 16-month-long antitrust lawsuit with AOL Time Warner, agreeing to pay the media giant $750 million (453 million pounds), license its browser technology to AOL and work together on digital media distribution and technology. The long-time rivals called the agreement a step that would lead to "more rapid deployment of digital media for consumers". It also marks the end of one of Microsoft's most contentious legal disputes following the software giant's final antitrust settlement with the federal government late last year. Microsoft Chairman Bill Gates and Dick Parsons, AOL Time Warner's chairman and chief executive officer, were scheduled to hold a joint news conference call at 2:15 p.m. local time (10.15 p.m. British time) on Thursday. AOL Time Warner's Netscape unit, known for its once-leading Netscape browser technology, had brought suit against Microsoft in January 2002, alleging that the Redmond, Washington-based software maker had violated antitrust law by unfairly promoting its Internet Explorer browser. AOL's Internet service, however, uses Microsoft's browser technology. In Thursday's agreement, Microsoft agreed to license that technology to AOL, royalty-free, for seven years. The two companies also said they would work together to develop digital media technology that would give users better access to content such as music, videos and news. "A lot has changed in the last few years, not only in the marketplace, but also for Microsoft and AOL Time Warner. We're pleased to reach this new agreement that's forward-looking and provides for a higher level of technical cooperation while, at the same time, the companies will continue to compete in a number of areas," Gates said in a prepared statement. Microsoft shares closed one cent lower on Nasdaq at $24.40 ahead of the news, while AOL Time Warner shares also closed one cent lower at $14.85 on the New York Stock Exchange. _________________ Source: Reuters

May 30, 2003, 01:18 PM	#3
The_Neon_Cowboy HardwareHeaven Extreme Member Join Date: Dec 2002 Location: U.S.A. Posts: 16,009 Rep Power: 90 System Specs	um aol used to use INTERNET EXPORER before ie5 / also before they bought netcape ........... what pricks i say it all when i say AOL SUCKS __________________

May 30, 2003, 05:37 AM	#2
nForcer Twice the fun! Join Date: Jul 2002 Posts: 1,404 Rep Power: 0	750 million is pocket change for MS - I'll bet 10 bucks says they were tired of the BS coming from AOL and decided to settle. Its not like AOL has much going for them at the moment anyway!

May 30, 2003, 04:06 PM	#5
nForcer Twice the fun! Join Date: Jul 2002 Posts: 1,404 Rep Power: 0