Statement from Microsoft Regarding Legal Action Against Google and a Former Executive

REDMOND, Wash., July 19, 2005 – Today Microsoft filed a lawsuit against a former executive and Google regarding breach of Microsoft’s employee confidentiality and non-compete agreement.  Kai-Fu Lee, former corporate vice president of Microsoft’s Natural Interactive Services Division, has accepted a position with Google to lead their China research and development center.  We are asking the Court to require Dr. Lee and Google to honor the confidentiality and non-competition agreements he signed when he began working for Microsoft.  

Creating intellectual property is the essence of what we do at Microsoft, and we have a responsibility to our employees and our shareholders to protect our intellectual property.  As a senior executive, Dr. Lee has direct knowledge of Microsoft’s trade secrets concerning search technologies and China business strategies.  He has accepted a position focused on the same set of technologies and strategies for a direct competitor in egregious violation of his explicit contractual obligations.

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