Microsoft Monopoly Microsoft was investigated for an antitrust behavior because it was engaged in an activity that was believed to be unlawful according to the U.S. Laws. The U.S. market does not allow monopoly and it is unlawful to engage in monopolistic activities that tend to harm the competitors in the same market. The market is guided on the principles of free and open market for all where there is fair competition in the market place which is aimed to be in favor of the consumers in terms of commodity pricing, quality and more innovations.

Competition is healthy for any economy and it is through competition that the economy thrives and the consumer is the beneficiary in getting better quality products and at a lower price. An economy that is dominated by a single supplier lacks what a competitive market can offer whereby consumers are at the mercy of a single supplier or provider which spells out monopoly. The consumers are protected from the anticompetitive business activities which is the reason Microsoft was investigated for the antitrust...

The company spent a lot of money and invented a browser which was bundled and given for free with its windows software to customers. This was an attempt to block the new entrants and cause a barrier to entry into the new market by other players such as Netscape. It viewed Netscape as a threat to its future market for windows applications. Microsoft's dominance in the market gave it a platform to have some elements of monopolistic activities, it decided to distribute its IE freely to be installed with the windows which was a defensive move to protect itself from the browser wars and to protect its monopoly of the windows. Microsoft became the price maker in the PC window operating systems which are all the characteristics of pure monopoly. By nature of its size and the popularity, it…