Network Effects And Antitrust Law: Predation, Affirmative Defenses, And The Case Of U.S. V. Microsoft

Topics:
Case Management
Tags:
Antitrust,
Business Operations,
Corporate Law,
Microsoft Corp.,
Network,
Network Effect,
Networking,
Stanford Knowledgebase
Source:
Stanford Knowledgebase

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Overview: A network is any market in which the consumption of a good by one consumer has a positive impact on the value of that good's consumption by another consumer. The goal of this article is to detail the unique opportunity that networks creation for both anti-competitive and pro-competitive practices, and then to apply this analysis to the Microsoft case. Its main aim is not to directly resolve this disagreement. Rather, for the sake of argument at least, this article accepts that network competition provides unique opportunities for anti-competitive strategies. However, network competition also provides some unique pro-competitive justifications for practices that have traditionally received antitrust scrutiny, such as tying, exclusive dealing, and low-pricing strategies.

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Format: HTML | Date: Jan 2003 | Pages: 1


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