35 Prior to rumors of the acquisition, Intuit’s stock traded at 40 3/4. John Eckhouse, Giant Microsoft Buys Intuit for $step 1 http://www.datingranking.net/tsdating-review.5 Million, San Francisco Chronicle, Oct. 14, 1994, at A1, A19. 336 Microsoft shares at the closing. Id. Based on Microsoft’s January 3, 1995 closing price of 60 3/16, each Intuit share receives over $80.

36 See Brian Livingston, Undocumented Window Calls, InfoWorld, Nov. 16, 199″2, at 98 (Ex. 19); Doug Barney and Ilan Greenberg, ISVs Moisten Microsoft Furor for OLE, InfoWorld, July 18, 1994, at 1.

38 Microsoft made numerous presentations in the nation that especially get this part and you will composed paperwork from all of these demonstrations could have been offered to this new Fairness Department.

39 For a more thorough discussion, see Miles B. Keyhoe, , HP Professional, Aug. 1994, at 40 (Ex. 17). Get a hold of in addition to Microsoft Corporation, Windows NT and you will Client-Servers Calculating, May 1993.

42 “Installed base” in the economic literature “means the number of owners of a good who may be dependent on the manufacturer of the good for the provision of complementary goods.” Joseph Katten, Sector Fuel regarding Visibility away from an equipped Legs, 62 Antitrust L.J. 1, 4 (1993).

43 Joseph Farrell and Garth Saloner, Installed Base and you will Being compatible: Advancement, Product Pre-Notices, and Predation, Amer. Econ. Rev., Dec. 1986, at 940; Janusz A. Ordover and Garth Saloner, Predation, Monopolization, and you may Antitrust, in Manual off Commercial Company 537, 565 (R. C. Schmalensee and R. Willis eds., 1989).

46 Select, e.grams., Paul A. David, Clio as well as the Business economics from QWERTY, Amer. Econ. Rev., May 1985, at 332; David A. Harvey, Transform becomes necessary – Today!, Byte, Oct. 1, 1991, at 119.

48 Joer. Econ. Rev., Dec. 1986, supra, at 942; Jean Tirole, The concept away from Commercial Business at 405, n.40 (1988)

Ergonomic Issues Have taken a backseat so you can Results, Leading to an increasing Tide off Computer system-Relevant Wounds

51 For the theoretical literature see, for example, the recent Symposium on Network Externalities in the Journal of Economic Perspectives, Spring 1994, the Symposium to the Being compatible, edited by Richard Gilbert in the Journal of Industrial Economics, March 1992, and the survey by Paul David and Shane Greenstein in the Economics of Innovation and New Technology, 1990. For an application to telecommunications, see Stanley Besen and Garth Saloner, New Business economics regarding Communication Conditions, in Switching the guidelines: Technological Change, Global Competition, and you will Controls when you look at the-Communication 177 (1989); for applications to broadcasting, see Stanley Besen and Leland Johnson, Compatibility Requirements, Competition, and you will Creativity regarding the Broadcasting Community (1986); for applications to ATMs, see Garth Saloner and Andrea Shepard, forthcoming in the Rand Journal of Economics, and Steven Salop, Deregulating Worry about-Managed Common Automatic teller machine Networks, Econ. of Innov. and New Tech., 1990; and for computers, see Garth Saloner, Econ. Innov. New Tech., 1990, supra.

The new Gusts of wind out of Transform

52 This “network effect” has been described by numerous authors. In a recent Symposium in the Journal of Economic Perspectives, Michael Katz and Carl Shapiro write, “Consequently, as has long been recognized, the demand for a network good is a function of both its price, and the expected size of the network.” See also Jeffrey Rohlfs, A principle out of Interdependent Need for a call Services, Bell J. of Econ., Spring 1974, for an early reference, as well as Michael Katz and Carl Shapiro, System Externalities, Competition, and you may Compatibility, Amer. Econ. Rev., er. Econ. Rev., Dec. 1986, supra: and other papers cited in Michael If, am and Carl Shapiro, Assistance Race and Community Outcomes, J. of Econ. Perspectives, Spring 1994.

53 See Julio J. Rotemberg and Garth Saloner, Interfirm Battle and you may Venture, Strategic Options, 1991, for an example of the power of network size.