Microsoft: Appeals Court Order on Windows 98 is “Good News for Consumers”

Microsoft: Appeals Court Order on Windows 98 is
“Good News for Consumers”

REDMOND, Wash., May 12, 1998 — A three-judge Appeals Court panel Tuesday unanimously granted Microsoft’s motion for a stay of the preliminary injunction issued by a Federal District Court Judge last December insofar as it applies to Windows 98.

The court’s ruling removes any uncertainty surrounding the preliminary injunction and Windows 98, by clarifying that the upcoming release of Windows 98 is not affected by the injunction, which is currently under appeal.

“We think this ruling is good news for consumers,”
said William H. Neukom, Microsoft senior vice president for law and corporate affairs.
“We’re gratified that the Court acted so promptly and agreed with our position in staying this unsupportable aspect of the preliminary injunction.”

“We don’t believe there is any legal basis for blocking or delaying Windows 98, and there certainly is no consumer benefit from denying the latest technology to millions of American consumers,”
Neukom added.

In its unanimous ruling, the Court wrote,
“Whatever the United States’s chances of winning permanent injunctive relief with respect to Windows 95 in the proceeding currently in the district court, they appear very weak with respect to Windows 98. The United States presented no evidence suggesting that Windows 98 was not an ‘integrated product,’ and thus exempt from the prohibitions of Section IV (E) (i).”

The court concluded its order by saying,
“Under these circumstances any interpretation of IV (E) (i) which barred the distribution of Windows 98 under the conditions evidently contemplated by Microsoft would ‘put judges and juries in the unwelcome position of designing computers’.”

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software for personal computers. The company offers a wide range of products and services for business and personal use, each designed with the mission of making it easier and more enjoyable for people to take advantage of the full power of personal computing every day.

Microsoft and Windows are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

Other product and company names herein may be trademarks of their respective owners.

For more information, press only:

Mark Murray, Microsoft, (425) 936-3306, mmurray@microsoft.com

Jim Cullinan, Microsoft, (425) 703-5913, jcull@microsoft.com

Heidi Rothauser, Waggener Edstrom, (425) 637-9097 x 5125, heidir@wagged.com

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