ProductsDesktop Server For Scientific Computing For IBM POWER For IBM System z For SAP Business Applications Red Hat Network Satellite ManagementExtended Update Support High Availability High Performance Network Load Balancer Resilient Storage Scalable File System Smart Management Extended Lifecycle SupportDeveloper Studio Portfolio Edition Web Framework Kit Application Platform Web Server Data Grid Portal Platform Red Hat JBoss A-MQ Red Hat JBoss Fuse SOA Platform Business Rules Management System (BRMS) Data Services Platform Messaging JBoss Operations Network JBoss Community or JBoss enterprise
SolutionsThe new IT Why open hybrid cloud? Why Red Hat Public cloud Cloud resource library Private cloud Infrastructure-as-a-Service (IaaS) Platform-as-a-Service (PaaS) Cloud applications and workloadsApplication development Business process management Enterprise application integration Interoperability Operational efficiency Security VirtualizationSolaris to Red Hat Enterprise Linux Migration overview Migrate from your UNIX platform How to migrate to Red Hat Enterprise Linux Upgrade to the latest Red Hat Enterprise Linux release JBoss Enterprise Middleware Benefits of migrating to Red Hat Enterprise Linux Migration services Start a conversation with Red Hat
TrainingPopular and new courses Red Hat JBoss Administration curriculum Core System Administration curriculum JBoss Middleware Development curriculum Advanced System Administration curriculum Linux Development curriculum Cloud Computing, Virtualization, and Storage curriculum
ConsultingBusiness Process Management Cloud and Virtualization Custom Software Development Enterprise Data and Storage Systems Management Migrations
Red Hat CEO Tells Senate Judiciary Committee At Microsoft Hearing "Monopolist Has Seriously Warped The Technology Industry"
WashingtonUnited States, December 13, 2001
Presenting Testimony at Hearing to Review Antitrust Consent Decree, Szulik says "settlement of this case must deny the monopolist the fruits of its past actions and impose remedial measures on the monopolist for its violations of the law."
In his testimony, Szulik quoted Massachusetts Attorney General Thomas F. Reilly as saying of the consent decree: "'Five minutes after any agreement is signed with Microsoft, they'll be thinking of how to violate the agreement. They're predators. They crush their competition. They crush new ideas. They stifle innovation. That's what they do.''' The remedy, said Szulik, can come only from the government, "Our competitor's illegal monopolistic actions have significantly reduced the open market in information technology," he said. "I believe that in extreme cases like this, it is the role of the government to step in and restore balance."
Szulik also told the committee that Microsoft's licensing, forced upgrade programs and other business practices have created a cycle in which schools must allocate 30 to 40 percent of their IT budgets to cover the costs of software and hardware upgrades. This situation seriously degrades poorer schools' ability to provide an adequate technical education for students. This cycle, caused largely by Microsoft's monopoly power, is widening the "Digital Divide," said Szulik, extending the gap in information technology between the "haves and have nots" in our society.
About the Hearings
The Senate Judiciary Committee convened hearings on the Microsoft case at 10:00 a.m. EST on December 12, 2001 in room 106 of the Senate Dirksen Office Building in Washington, D.C. Testimony was halted after two hours by a procedural matter and the statements of those on the panel were entered into the record. Chaired by Senator Patrick J. Leahy (D, Vermont), the committee includes:
DEMOCRATS -- Edward M. Kennedy, (Massachusetts), Joseph R. Biden, Jr., (Delaware), Herb Kohl, (Wisconsin), Dianne Feinstein, (California), Russell D. Feingold, (Wisconsin), Charles Schumer, (New York), Richard Durbin (Illinois), Maria Cantwell, Washington, John Edwards, (North Carolina),
REPUBLICANS --Orrin G. Hatch, Ranking Minority (Utah), Strom Thurmond, (South Carolina), Charles E. Grassley, (Iowa), Arlen Specter, (Pennsylvania), Jon Kyl, (Arizona), Mike DeWine, (Ohio), Jeff Sessions, (Alabama), Sam Brownback, (Kansas), Mitch McConnell, (Kentucky),
Red Hat CEO Matthew J. Szulik was part of a panel of witnesses that included noted legal experts and technology industry leaders. Participants from the technology industry included Jonathan Zuck, President of the Association of Competitive Technology; Mitchell E. Kertzman, President and CEO of Liberate Technologies. Microsoft was represented by Charles F. Rule of the law firm of Fried, Frank, Harris, Shriver & Jacobson, Counsel to Microsoft Corporation. Also testifying was Professor Lawrence Lessig of the Stanford Law School, and Mark N. Cooper, Ph.D., Director of Research for the Consumer Federation of America, and Justice Department Antitrust Division officials. The Committee also received written testimony from James Barksdale, former CEO of NetScape and now a board member of AOL.
About Red Hat, Inc.
Red Hat, the world's leading open source and Linux provider, is headquartered in Raleigh, NC with satellite offices spanning the globe. Red Hat is leading Linux and open source solutions into the mainstream by making high quality, low cost technology accessible. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training and consulting services to its customers worldwide and through top-tier partnerships. Red Hat's open source strategy offers customers a long term plan for building infrastructures that are based on and leverage open source technologies with focus on security and ease of management. Learn more: http://www.redhat.com
Forward-looking statements in this press release are made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. Investors are cautioned that statements in this press release that are not strictly historical statements, including, without limitation, management's plans and objectives for future operations, and management's assessment of market factors, constitute forward-looking statements which involve risks and uncertainties. These risks and uncertainties include, without limitation, reliance upon strategic relationships, management of growth, the possibility of undetected software errors, the risks of economic downturns generally, and in Red Hat's industry specifically, the risks associated with competition and competitive pricing pressures, the viability of the Internet, and other risks detailed in Red Hat's filings with the Securities and Exchange Commission, copies of which may be accessed through the SEC's Web site at http://www.sec.gov.
LINUX is a trademark of Linus Torvalds. RED HAT is a registered trademark of Red Hat, Inc. All other names and trademarks are the property of their respective owners.