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April 24, 2000

The (positive) case for breaking up Microsoft

Breaking up Microsoft may be the best thing that ever happened – for both investors and consumers. Or so says finance professor Raghu Rau of Purdue's Graduate School of Management. Divestiture is a better scenario than a "remedy" that would subject the software giant to complicated government oversight. The issues: How to prevent predatory corporate behavior and encourage innovation, both of which affect both Wall Street and Main Street investors, not to mention computer users. Journalists who want to know more about the proposed Microsoft breakup and how it would affect businesses and consumers can reach Rau in his office at (765) 494-4488, rau@mgmt.purdue.edu. Mornings are better, but he will return calls.

JOURNALISTS: Here's a story idea about reports that the government plans to ask a judge to split Microsoft Corp. into two or three separate companies. To arrange interviews or campus visits, contact Jesica Webb, Purdue News Service, (765) 494-2079, jwebb@purdue.edu.


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