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Article #56

Re: Judge Finds Microsoft Broke U.S. Antitrust Law

#56
From: Sean Donelan
Date: Mon, 03 Apr 2000 00:00
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It may depend on what type of distribution agreement you have with
Cisco, but Cisco has offered additional discounts to people selling
xx% of their total volume as cisco gear.  Further Cisco extended
additional price breaks to get into markets they weren't as strong,
such as if you agreed to to sell xx% of cisco switches instead of a
competitor, you received an additional discount on Cisco routers.  Not
to mention the added discounts and requirements for CCIE, CCNA, CCDA, etc.
Cisco isn't above adding quirky, proprietary enhancements which make it
difficult to use another vendor's equipment in combination with Cisco's.

On Mon, 03 April 2000, JC Dill wrote:
> I find it quite interesting to compare how Cisco has managed to 
> become the biggest company in the world (even overtaking 
> Microsoft) in just 16 years (Cisco was founded in 1984) and 
> without (obviously or publicly) engaging in anti-competitive 
> behavior.  For instance, you don't get a better price break by 
> being a 100% Cisco network versus (say) being a 90% Cisco 
> network.  Your price break is determined by the volume you buy, 
> not by who else you do (or don't ) buy from.  In fact, you only 
> need to agree to use 75% Cisco equipment to be qualified to be a 
> Cisco Powered Network.  Instead of trying to force you to buy 
> their products with anti-competitive licensing agreements, they 
> just try to make products that are good enough that you *want* 
> to buy them.  What a concept!


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From: Sean Donelan <sean@donelan.com>
Subject: Re: Judge Finds Microsoft Broke U.S. Antitrust Law
Date: 2000/04/03
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