26 August 1998
The Times
Oliver August reports from New York
Language barrier broken as Microsoft
battle hots up.
The man at the other end of the phone
kept referring to "dog-food". At first,
I assumed I had misunderstood this US civil servant.
We were in the middle of a complicated discussion
about the merits of the anti-trust lawsuit by the
Justice Department against Microsoft. But he said
it again. "They were trying all these applications
out on dog-food." I interrupted him: "Are
you sure this is the same case you're referring
to?"
"Microsoft, right? That's what
you were calling about." I said I meant the
software company not the petfood producer. He started
laughing. "Dogfood - that's what Microsoft
programmers call flawed software. When they can't
sell it but it's good enough for internal use. Like,
good enough to feed the dog."
The civil servant did not find it
at all unusual to be talking geek lingo. The Justice
Department has devoted huge resources to the high-profile
case against Microsoft, and some of the free-wheeling
attitude of the programmers has rubbed off on the
lawyers, policymakers and spokesmen.
A year ago, most trustbusters were
only vaguely aware of what it meant to "self-toast"
(contradict yourself). Vaporware (a product that
never reached the shelves) was assumed to be a cousin
of Tupperware. They were unaware that having a conversation
in a room constituted communicating by face-mail
(as opposed to voice-mail or e-mail).
Today, civil servants proficiently
parley in Microspeak. Having studied thousands of
internal Microsoft documents and computer messages,
lawyers will now ask at the end of lunch: "Which
side of the feewall is this?" They mean: "Who
will pick up the bill?"
Once more than a continent apart,
Microsoft's Seattle and trust-busting Washington
today seem closer together than ever. Like the civil
servants, Bill Gates, the Microsoft chairman, has
adopted the opposition's language. Gone are the
harsh words about defending the freedom of American
enterprise. His dulcet tones of diplomacy sound
like this: "Government is pervasive and most
interactions people have with it are positive. Governments
create order and provide services, including schools
and health systems and roads."
But the language of compromise spoken
on both sides is deceptive. The niceties will end
when the legal battle finally moves into the courtroom
next month after almost a year of wrangling. Each
side has a lot more to lose than just a court case.
If the Justice Department is defeated
in its most high-profile anti-trust case in a generation,
it may lose public support for its aggressive stance
in other recent cases.
And if Microsoft loses, the ultimate
penalty, the dismemberment of the Gates empire,
could be the next target of the trustbusters, etching
their names into the annals next to the men who
broke up Standard Oil at the start of this century.
Wall Street analysts and Microsoft
rivals are eagerly trying to assess what the Justice
Department's chances are. The majority of opinions
suggests that Bill Gates will once again emerge
triumphant.
In the past two months Microsoft has
repeatedly won the day in pre-trial hearings. William
Kovacic, a law professor at George Mason University,
said: "This is a really bad omen."
One increasingly popular theory compares
Mr Gates's case to the legal situation of Bill Clinton.
The President has recovered from an almost hopeless
position by making selective statements and listening
carefully to his lawyers. Mr Gates, it seems, has
copied the recipe of Washington's ultimate legal
insider.
Last week, for the first time, he
pinpointed the date when Microsoft started work
on its Internet browser for the Windows operating
systems that forms the basis of the antitrust case.
The Microsoft chairman claims that
on April 5, 1994, he asked programmers to integrate
the browser into the operating system (thereby forcing
90% of computer buyers worldwide to own the Microsoft
browser).
The date is highly significant. Two
days later, Netscape, now Microsoft's main rival,
was incorporated. Mr Gates claims to have said at
an executive retreat: "Hey, we're going to
get it integrated into the operating system."
Pinpointing the date is a risky strategy.
If the Justice Department finds internal Microsoft
documents that "self-toast" Mr Gates,
his whole defence could be undermined. Government
lawyers have already retrieved some damaging material
from company computers. Not all of it is directly
related to the browser case but it offers a candid
view of the aggressive Microsoft culture. A September
1997 message from one official reads: "Let's
move and steal the Java language. That said, have
we ever taken a look at how long it would take Microsoft
to build a cross-platform Java that did work? Naturally,
we would never do it, but it would give us some
idea of how much time we have to work with in killing
Sun's Java."
Lawyers may regard Microsoft's strategy
as risky but that won't disturb Mr Gates. During
one of his regular question-and-answer e-mail sessions
on the Internet he wrote this month: "I like
games, off and on the screen. I'm a fairly avid
bridge, poker, go and chess player." He did
not list the Monopoly board game.
While the chairman has been co-ordinating
the preparations for the trial, his browser salesmen
have made advances that no ruling short of a break-up
of the company could reverse.
Netscape was commonly believed to
have the upper hand in the browser market. Its product
is installed on most computers. But a new study
has found that Microsoft may already have overtaken
its rival, making monopoly fears all the more urgent.
Positive Support Review, an Internet
consultancy in Los Angeles, has used a new measure
to compare browser popularity. Rather than count
the total number of browsers, it monitored how much
time Internet surfers spent using the two browsers.
Surveying 450,000 hits at a wide range of websites,
it found that use of the Microsoft product had risen
from 42% to 55% over the past year. Should the trend
continue, Microsoft may one day attempt what it
has done with many other software competitors: to
buy it.
In the Microspeak lexicon there is
a phrase for that occasion, too: "Open the
kimono" - which translates as an aggressive
demand to open the books for inspection. The next
step after that is the "braindump", when
technical knowledge is passed on. The anti-trust
case may be the last chance to prevent such a scenario.
(c) Times Newspapers Ltd, 1998.