[Sussex] Linux is capitalism, Microsoft is communism?

[Geoff Teale]

Mark,

I haven't read your post in full (no time, will do so at home).

To me it boils down to this, monopolies cause a fundemental break down
of the capitalist system, without competition you create a sick,
distorted entity that sucks dry the very resources it relies on (in this
case the customers).

Microsoft is a publically traded company, the value of shares in public
traded companies is not (as many people believe) derived by it's assets
and profit alone, more importanlty the traded value of shares is based
on the belief investors have that the company can achieve significant
growth in profits in the future that will allow them to pay dividends.

Microsoft, as a virtual monopoly, reached a point in the 1990's where
there was nolonger any room for natural growth in their market.  Here
they faced three options:

* Loose value in their shares (not an option under US, or indeed UK law
if it is preventable).

* Move into new markets.
* Make more money from each existing customer.

So.. in a way their behaviour isn't entirely their fault, legislaters
should have acted to restrict their control over the market much
earlier.  In failing to do so (where they had previously suceeded with
regard to AT&T and IBM) the US government broke a fundemental principle
of capitalist economies.

In short, Microsoft isn't the issue, the questions are:

Is the USA really a true capitalist economy?
 - answer, no.  Further to this you might assert that the US and EU
economies are the most centralised on the planet today (outside China).

Is the USA truely a democracy?
- Good questions.. right now it's subject to leadership by coup..

Is there anything we can do about it?
- dunno..?




-- 
Geoff Teale <gteale at cmedltd.com>
Cmed Technology