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+<!--#include virtual="/server/header.html" -->
+<!-- Parent-Version: 1.77 -->
+<title>FSF Statement in Response to Proposed Revised Final
+ Judgment in Microsoft vs. United States
+- GNU Project - Free Software Foundation</title>
+
+<!--#include virtual="/philosophy/po/ms-doj-tunney.translist" -->
+<!--#include virtual="/server/banner.html" -->
+
+<h2>FSF Statement in Response to Proposed Revised Final Judgment
+ in Microsoft vs. United States</h2>
+
+ <p>January 28, 2002</p>
+
+ <p>Renata B. Hesse<br />
+ Antitrust Division<br />
+ U.S. Department of Justice<br />
+ 601 D Street NW<br />
+ Suite 1200<br />
+ Washington, DC 20530-0001</p>
+
+ <p>Dear Ms Hesse,</p>
+
+ <p>I am Professor of Law at Columbia University Law School in New
+ York, and General Counsel (<i>pro bono publico</i>) of the Free
+ Software Foundation, a non-profit &sect;501(c)(3) corporation
+ organized under the laws of the Commonwealth of Massachusetts, with
+ its headquarters in Boston. I make this statement under the
+ provisions of 15 U.S.C. &sect; 16(d) concerning the Proposed Revised
+ Final Judgment (hereinafter &ldquo;the Settlement&rdquo;)
+ in <i>United States v. Microsoft Corp</i>.</p>
+
+ <p>The remedies sought to be effected in the Settlement are, in
+ their broad outline, appropriate and reasonable measures for the
+ abatement of the illegal conduct proven by the United States at
+ trial. The goal of such remedies is to require that Defendant
+ affirmatively assist the restoration of competition in the market in
+ which the Defendant has been shown to have illegally maintained a
+ monopoly in violation of 15 U.S.C. &sect;2. The remedies embodied in
+ the Settlement would substantially achieve that goal, appropriately
+ furthering the Government's pursuit of the public interest, if the
+ Settlement were amended to rectify certain details one-sidedly
+ favorable to the Defendant's goal of continuing its illegal
+ monopoly.</p>
+
+ <p>Defendant&mdash;in the interest of continuing unabated its
+ illegal monopoly&mdash;has artfully drafted certain clauses of the
+ Settlement so as to hobble potential competition, giving the
+ appearance of affirmatively assisting to undo its wrong, but
+ covertly assisting instead in its continuance.</p>
+
+ <p>The District Court found that the Defendant had illegally
+ maintained a monopoly in the market for Intel-compatible PC
+ operating systems. (Findings of Fact, November 19, 1999, &para;19.)
+ The mechanism of that monopolization, the court found, was the
+ attempt to establish exclusive control of &ldquo;application program
+ interfaces&rdquo; (&ldquo;APIs&rdquo;) to which applications
+ developers resort for operating system services, so as to prevent
+ the possibility of &ldquo;cross-platform&rdquo; development
+ threatening Defendant's operating systems monopoly. (Findings of
+ Fact, &para;80 and <i>passim</i>.)</p>
+
+ <p>The Settlement accordingly makes appropriate provision to
+ require Microsoft to provide access to full and complete
+ technical information about its APIs on non-discriminatory terms,
+ so as to prevent Defendant's prior conduct in erecting artificial
+ and illegal barriers to entry to the monopolized market.</p>
+
+ <p>But the precise terms of the Settlement create a series of
+ artful technical loopholes vitiating the primary intention.</p>
+
+ <p>Section III(D) provides that:</p>
+
+ <blockquote>
+ <p>
+ Starting at the earlier of the release of Service Pack 1 for
+ Windows XP or 12 months after the submission of this Final
+ Judgment to the Court, Microsoft shall disclose to ISVs, IHVs,
+ IAPs, ICPs, and OEMs, for the sole purpose of interoperating with
+ a Windows Operating System Product, via the Microsoft Developer
+ Network (&ldquo;MSDN&rdquo;) or similar mechanisms, the APIs and
+ related Documentation that are used by Microsoft Middleware to
+ interoperate with a Windows Operating System Product. (emphasis
+ added)
+ </p>
+ </blockquote>
+
+ <p>The &ldquo;sole purpose&rdquo; requirement means that Defendant
+ does not have to make any such API information available to
+ developers of software whose purpose it is to make competing
+ Intel-compatible PC operating systems. Only those who make programs
+ that interoperate with Windows Operating Systems Products may
+ receive such information. Under &sect; III(I)(3), an applications
+ developer who has received licensed information concerning
+ Defendant's APIs could be prohibiting from sharing that information
+ with a maker of a competing Intel-compatible PC operating system,
+ for the purpose of interoperating with that competing product. Under
+ &sect;III(I)(2), if a potential competitor in the market for
+ Intel-compatible PC operating systems also makes applications
+ products, it can even be prohibited from using licensed information
+ it receives in order to make those applications interoperate with
+ Defendant's products also interoperate with its own competing
+ operating system.
+<span class="gnun-split"></span>What should be a provision requiring Defendant to
+ share information with potential competitors in the monopolized
+ market turns out, after Defendant's careful manipulation, to be a
+ provision for sharing information &ldquo;solely&rdquo; with people
+ other than competitors in the monopolized market. The same language
+ has been inserted into &sect;III(E), thus similarly perverting the
+ intention of the Settlement with respect to Communications
+ Protocols.</p>
+
+ <p>Defendant has not merely engaged in this undertaking with a
+ goal to the exclusion of potential future competitors from the
+ monopolized market. In the teeth of the evidence, long after
+ having been proved to have behaved with exaggerated contempt for
+ the antitrust laws, Defendant is attempting in the very Judgment
+ delivered against it to exclude from the market its most vigorous
+ current competitor.</p>
+
+ <p>Defendant's most significant present challenger in the
+ Intel-compatible PC operating systems market is the collection of
+ &ldquo;free software,&rdquo; which is free in the sense of freedom,
+ not necessarily in price: thousands of programs written
+ collaboratively by individuals and organizations throughout the
+ world, and made available under license terms that allow everyone to
+ freely use, copy, modify and redistribute all the program code. That
+ free software, most of it licensed under the terms of the Free
+ Software Foundation's GNU General Public License (&ldquo;the
+ GPL&rdquo;) represents both an operating system, known as GNU, and
+ an enormous corpus of applications programs that can run on almost
+ all existing architectures of digital computers, including
+ Intel-compatible PCs.
+<span class="gnun-split"></span>Through one such free software component, an
+ operating system &ldquo;kernel&rdquo; called Linux, written by
+ thousands of individuals and distributed under the GPL, the GNU
+ operating system can execute on Intel-compatible PC's, and by
+ combining Linux with other free software, GNU can perform all the
+ functions performed by Windows. Non-Microsoft Middleware can execute
+ on Intel-compatible PCs equipped with components of GNU and Linux.
+ Intel-compatible PCs so equipped currently account for more than 30%
+ of the installed server base in the United States, according to
+ independent industry obsevers.</p>
+
+ <p>The District Court found that &ldquo;by itself, Linux's
+ open-source development model shows no signs of liberating that
+ operating system from the cycle of consumer preferences and
+ developer incentives that, when fueled by Windows' enormous
+ reservoir of applications, prevents non-Microsoft operating systems
+ from competing.&rdquo; (Findings of Fact, November 5, 1999,
+ &para;50.) (referring, confusingly, to the combination of GNU,
+ Linux, and other programs simply as &ldquo;Linux.&rdquo;) The
+ District Court correctly found that in order to compete effectively
+ with Defendant in the desktop operating systems market for
+ Intel-compatible PCs, systems equipped with the free software
+ operating system should be able to interoperate with &ldquo;the
+ enormous reservoir&rdquo; of Windows applications.</p>
+
+ <p>There is no inherent barrier to such interoperation, only an
+ artificial barrier illegally erected by Defendant. If Defendant were
+ required to release information concerning its APIs to the
+ developers of free software, GNU, Linux, the X windowing system, the
+ WINE Windows emulator, and other relevant free software could
+ interoperate directly with all applications that have been developed
+ for Windows. Anyone could execute Windows applications programs
+ bought from any developer on Intel-compatible PC's equipped with the
+ competing free software operating system. And because, as the
+ District Court found, the cost structure of free software is very
+ much lower than Defendant's, the competing operating system product
+ is and would continue to be available at nominal prices. (Findings
+ of Fact, November 5, 1999, &para; 50.)</p>
+
+ <p>That would be too effective a form of competition, from the
+ Defendant's point of view. For this reason, Defendant has included
+ in the Settlement the terms that exclude from API documentation
+ precisely those to whom it would be most logically addressed:
+ potential competitors seeking access to the monopolized market. If
+ the Settlement were enforced according to its intention, the result
+ would be immediate and vigorous competition between Defendant and
+ the parties against whom, the District Court found, Defendant was
+ illegally maintaining a barrier. The Settlement should be amended to
+ level that barrier, which the current language inserted by Defendant
+ artfully maintains. The language of &sect;&sect;III(D) and III(E)
+ should be amended to require Defendant to release timely and
+ accurate API information to all parties seeking to interoperate
+ programs with either Windows Operating System Products or
+ applications written to interoperate with Windows Operating System
+ Products.</p>
+
+ <p>For the same reason, Defendant's attempt to continue denying the
+ free software development community access to its APIs through the
+ imposition of royalty requirements, in &sect;III(I)(1), should be
+ removed. As the District Court recognized, free software development
+ means that everyone in the world has access, without payment of
+ royalties or prohibition of redistribution, to the &ldquo;source
+ code&rdquo; of the software. All APIs and other interfaces are fully
+ available at all times to anyone who wants to interoperate with the
+ existing programs. This, and the ability to reuse existing program
+ code in new programs without payment of royalties or license fees,
+ permits vast numbers of interoperable, high-quality programs to be
+ written by a mixture of volunteers and professional project
+ developers for free distribution.
+<span class="gnun-split"></span>By authorizing Defendant to engage
+ in non-reciprocity by charging royalties for the same information
+ about its programs, thus purposefully ousting volunteer developers,
+ and by prohibiting &ldquo;sublicensing,&rdquo; thus precluding
+ profit-making developers from seeking interoperability with
+ volunteers, the Settlement is craftily perverted into a mechanism
+ whereby Defendant can continue to withhold API information so as to
+ preclude the operations of potential competitors. The Settlement
+ should be modified so that &sect;III(I)(1) requires reciprocity, by
+ precluding the imposition of royalties on developers who make their
+ own APIs fully available without payment of royalties or license
+ fees, and so that &sect;III(I)(3) precludes limitation on
+ sublicensing, and requires Defendant to release API information on
+ terms reciprocal to those on which competitors make their own API
+ information available.</p>
+
+ <p>In one additional provision Defendant has attempted to subvert
+ the intention of the Settlement in order to preclude effective
+ competition by the Intel-compatible free software operating
+ system. Under &sect; III(J)(1), Defendant may refuse to disclose
+ &ldquo;portions of APIs or Documentation or portions or layers of
+ Communications Protocols the disclosure of which would compromise
+ the security of anti-piracy, anti-virus, software licensing, digital
+ rights management, encryption or authentication systems, including
+ without limitation, keys, authorization tokens or enforcement
+ criteria.&rdquo; This provision is so indefinite that Defendant can
+ be expected to argue that all APIs and Communications Protocols
+ connected with the security and authentication aspects of electronic
+ commerce (including especially &ldquo;without limitation&rdquo; keys
+ and authorization tokens, which are the basic building blocks of all
+ electronic commerce systems) can be kept secret.
+<span class="gnun-split"></span>At present, all
+ such protocols and APIs are public, which is appropriate
+ because&mdash;as computer security experts would testify if, as it
+ should, the District Court seeks evidentiary supplementation under
+ 15 U.S.C. 16(f)(1)&mdash;security is not attained in the computer
+ communications field by the use of secret protocols, but rather by
+ the use of scientifically-refereed and fully public protocols, whose
+ security has been tested by full exposure in the scientific and
+ engineering communities.
+<span class="gnun-split"></span>If this provision were enforced as
+ currently drafted, Defendant could implement new private protocols,
+ extending or replacing the existing public protocols of electronic
+ commerce, and then use its monopoly position to exclude the free
+ software operating system from use of that de facto industry
+ standard embodied in its new unpublicized APIs and Protocols.
+ Defendant then goes further in &sect; III(J)(2), according to itself
+ the right to establish criteria of &ldquo;business viability&rdquo;
+ without which it may deny access to APIs. Considering that its
+ primary competition results from a development community led by
+ non-profit organizations and relying heavily on non-commercial and
+ volunteer developers, one can only conclude that Defendant is once
+ again seeking the appearance of cooperation with the rule of law,
+ while preparing by chicane to deny its injured competitors their
+ just remedy.</p>
+
+ <p>The Free Software Foundation not only authors and distributes
+ the GNU General Public License, and in other ways facilitates the
+ making of free software by others, it also manufactures and
+ distributes free software products of its own, particularly the
+ GNU operating system, and sells compilations of its own and
+ others' free software. The Foundation sustains specific injury
+ from the violations set forth in the complaint that are not
+ remedied by (and indeed are specifically excluded from) the
+ Settlement. The Foundation and the other free software developers
+ with whom it acts are the single most significant competitor to
+ the Defendant in the monopolized market, and the adoption of the
+ Settlement as drafted, with its terms so carefully designed by
+ Defendant to preclude its effective competition, would be a
+ travesty. We urge that the Settlement be amended as we have
+ described.</p>
+
+ <p>Very truly yours,<br />
+ Eben Moglen</p>
+
+</div><!-- for id="content", starts in the include above -->
+<!--#include virtual="/server/footer.html" -->
+<div id="footer">
+<div class="unprintable">
+
+<p>Please send general FSF &amp; GNU inquiries to
+<a href="mailto:gnu@gnu.org">&lt;gnu@gnu.org&gt;</a>.
+There are also <a href="/contact/">other ways to contact</a>
+the FSF. Broken links and other corrections or suggestions can be sent
+to <a href="mailto:webmasters@gnu.org">&lt;webmasters@gnu.org&gt;</a>.</p>
+
+<p><!-- TRANSLATORS: Ignore the original text in this paragraph,
+ replace it with the translation of these two:
+
+ We work hard and do our best to provide accurate, good quality
+ translations. However, we are not exempt from imperfection.
+ Please send your comments and general suggestions in this regard
+ to <a href="mailto:web-translators@gnu.org">
+ &lt;web-translators@gnu.org&gt;</a>.</p>
+
+ <p>For information on coordinating and submitting translations of
+ our web pages, see <a
+ href="/server/standards/README.translations.html">Translations
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+Please see the <a
+href="/server/standards/README.translations.html">Translations
+README</a> for information on coordinating and submitting translations
+of this article.</p>
+</div>
+
+<!-- Regarding copyright, in general, standalone pages (as opposed to
+ files generated as part of manuals) on the GNU web server should
+ be under CC BY-ND 3.0 US. Please do NOT change or remove this
+ without talking with the webmasters or licensing team first.
+ Please make sure the copyright date is consistent with the
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+
+ If you wish to list earlier years, that is ok too.
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+ year, i.e., a year in which the document was published (including
+ being publicly visible on the web or in a revision control system).
+
+ There is more detail about copyright years in the GNU Maintainers
+ Information document, www.gnu.org/prep/maintain. -->
+
+<p>Copyright &copy; 2002 Free Software Foundation, Inc.</p>
+
+<p>This page is licensed under a <a rel="license"
+href="http://creativecommons.org/licenses/by-nd/3.0/us/">Creative
+Commons Attribution-NoDerivs 3.0 United States License</a>.</p>
+
+<!--#include virtual="/server/bottom-notes.html" -->
+
+<p class="unprintable">Updated:
+<!-- timestamp start -->
+$Date: 2014/04/12 12:40:28 $
+<!-- timestamp end -->
+</p>
+</div>
+</div>
+</body>
+</html>