WASHINGTON -- One of Microsoft's most powerful executives conceded under cross-examination Tuesday that Redmond wanted to get companies to limit their promotion of rival Netscape's Web browser.
Paul Maritz was asked during Microsoft's antitrust trial Tuesday if he had personally concluded it was "a desirable objective for Microsoft to get companies to agree to limit their promotion of Netscape's browser."
Maritz replied: "Yes, in certain specific situations ... we did."
Microsoft stands accused of using its dominance in the operating system market to create a monopoly and to gain advantage in other business areas. Specifically, the government charged that Microsoft gave away its Internet Explorer Web browser to deprive its competitor, Netscape, of income.
Government lawyer David Boies spent much of the morning trying to get Maritz to acknowledge that Microsoft spent time and resources in an effort to increase its browser share at the expense of Netscape, and to drive down Netscape's stock price.
For example, when Boies asked Maritz if the company tracked market share against Netscape, the executive defined "share" without reference to any other company.
"We generally try to find out how many people are using our product," Maritz said. Boies showed Maritz email sent to him from company chairman Bill Gates that called browser share a "very, very" important goal.
Maritz said that meant it was "important for us to get more users," but again declined to define "share" in terms of Netscape.
Later Boies asked: "You did track something you called 'browser share?'"
Maritz replied: "We may have, but that doesn't imply there was a market there." Microsoft contends that its browser is a seamless part of its operating system, rather than a separate product that competes in a market for Web browsers.
Finally, Boies showed Maritz a 22 February 1996 document that Maritz himself had written. The Maritz document, entitled Internet Browsers, had two sections: "Netscape's Actions" and "How to Win."
The front page of the Maritz-authored document also included graphs that directly compared what Maritz had labeled the "browser market share" of Netscape and Microsoft.
Maritz said the company was trying to understand "how many more people use Netscape" than were using Microsoft at the time. Soon after that Maritz finally conceded that in some instances his firm tried to get other companies to limit their distribution of Netscape.
Boies also asked if Microsoft wanted to see the price of Netscape stock diminish.
"I don't recall that as a specific objective," replied Maritz. Boies showed Maritz a story from the 8 December 1995 editions of the Seattle Times describing a lunch that had taken place the previous day.
At that lunch, the newspaper reported, Microsoft treasurer Greg Maffei told Maritz: "Netscape's down $30." The paper said that Maritz "stopped chewing, smiled slowly, and raised his eyebrows. 'Mmm,' he said. 'Good.'" Another colleague added: "That's not enough."
Maritz testified he remembered Maffei telling him about the stock price change but added: "I don't recall making that reply."
