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February 14, 2007

Microsoft settles Iowa antitrust suit

Posted by David Hunter at 11:03 AM ET.

The antitrust suit against Microsoft in the state of Iowa which had produced a variety of bad press for Microsoft in recent weeks (e.g. [1], [2], [3]) has been settled:

A class-action lawsuit that alleged Microsoft Corp. overcharged consumers was settled Wednesday for an undisclosed amount.

Details could be released at a court hearing April 20.

Plaintiffs attorney Roxanne Conlin said half of the amount will be used to “close the digital divide in Iowa.” She said it will “make sure Iowa’s great schools will have opportunities they otherwise would not have.”

Until we see some details, it’s rather hard to estimate who made out well on this deal.

Update: There is slightly more information but no price tag in the Microsoft press release:

The terms of the settlement are not being disclosed pending preliminary court approval, which is expected in April. The settlement concludes the seven-year case and will provide compensation to individuals and businesses that purchased specified operating system and application software including Word, Excel and Office from May 18, 1994, through June 30, 2006. Details for making claims will be announced this spring.

Under the settlement, Microsoft will provide half of any unclaimed proceeds to the Iowa Department of Education to bridge the digital and technical divide in Iowa schools through the purchase of computer hardware and software.

The Court will consider the joint motion for preliminary approval of the settlement on April 20, 2007. Purchases of Microsoft operating systems covered by this settlement include MS-DOS, Windows 95, Windows 98, Windows 98 Second Edition, Windows Millennium Edition, Windows for Workgroups, Windows NT Workstation, Windows 2000, and Windows XP. Microsoft applications in this settlement mean Word, Excel and Office versions designed for computers with the above MS DOS or Windows operating systems.



Filed under Antitrust, General Business, Governmental Relations, Legal, Microsoft, Public Relations

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One Response to “Microsoft settles Iowa antitrust suit”

  1. Microsoft Iowa antitrust settlement details revealed -- Microsoft News Tracker Says:

    [...] The details in the settlement of the Iowa antitrust suit against Microsoft announced last February were revealed today when it was approved by the judge: A judge in Iowa’s Polk Country District Court Wednesday granted preliminary approval to a settlement in one of the last class-action lawsuits faced by Microsoft Corp. in the wake of the antitrust case brought by the U.S. government in the 1990s. [...]

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