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Jun. 29 1998
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Windows 98 Blasts Off, More NT Delays, Gates Again Named World's Richest Man
At the stroke of midnight last Thursday, stores across the nation officially began selling Windows 98. Despite months of downplaying the event, customers lined up outside computer retailers to get their own copy of the glorified bug patch. A large part of the hoopla was caused by special Windows 98 deals like $98 computers on sale at CompUSA and Best Buy (Retailers won't comment on rumors that Microsoft co-sponsored discounts). So far The Behemoth has sold some 600,000 copies of the "new" operating system, although a vast majority of corporate users are holding on to their current Windows 95 or NT4 systems in hopes that NT5 is right around the corner.
The usual number of bugs have been reported, including problems recognizing LAN adapters, Internet Explorer and Outlook Express lockups, hardware incompatabilities, and problems with the BIOS on some older PCs. Most of the problems were experienced by users upgrading over Windows 95, but some bugs affected clean installs and copies of Windows bundled with new computers.
The situation certainly wasn't helped by Microsoft's notorious technical support. Many people attempting to use the free support lines were met with busy signals, and using the overloaded Microsoft web site is a frustrating experience even on normal days. But for only $35 per call (or $295 for 10 incidents) you can use Microsoft's state of the art toll-support hotline. It's no wonder these products are so buggy, they make more money from tech support than they do selling software.
Last Sunday from DeAnza College parking lot B in Cupertino California, the Silicon Valley Linux Users Group (SLVUG) launched a model rocket partially made of Win98 CDs. The rocket, using halved Windows 98 beta CDs as tailfins, survived two low-altitude flights, but, just like Windows, unexpectedly crashed during the third flight. Fragments of the model landed across the DeAnza campus, with one large section landing in a gutter. A second model, known as the Internet Exploder, blew apart on the launch pad. It was unclear if the explosion was intentional on the part of the rocket's builder or a simple accident, but it had a nice effect either way. Microsoft has declined to comment about the launch or subsequent explosions.
Microsoft had promised that beta 2 of NT 5 would be out by the first half of this year. But at a three-day Windows NT Deployment Conference last week, company executives acknowledged they have missed that target. The promised beta 2 will not be ready until late summer or fall, so in its place a "pre-beta 2" of NT5 is scheduled to be shipped for computer assemblers and senior IT managers to review. Further clouding the final ship-date picture, Microsoft then announced that a third, previously unplanned beta 3 will be distributed after the delayed second beta version. After more than a year of delays NT 5 was targeted to ship this fall, but the announcement of a 3rd beta indicates that it may not be ready until this time next year. This could result in an interim release of NT, possibly a version 4.5.
According to Dhiren Rana, Microsoft has no right to call it's web browser Internet Explorer. Rana, founder of the defunct ISP SyNet, claims that his company had a web browser called Internet Explorer back in 1994. Microsoft claims the title is generic and is suing SyNet to prevent it from getting a trademark on the name. Internet Explorer, Microsoft reportedly says, cannot be trademarked since it is a descriptive name, not a proper one. The name is "public domain, and must be kept available for use by the industry and the public." Anybody feel like suing them over the trademarks 'Windows' and 'Bob' using the same tactics?!--#include file="end.txt" -->
Microsoft settled the suit with SyNet for $5 million Wednesday. In exchange for the much-needed money, SyNet will transfer all rights and claims on the name "Internet Explorer" to Microsoft.
In a strongly worded white paper released last Friday, the Software Publisher's Association urged the U.S. Department of Justice to expand its antitrust investigation of Microsoft into the company's server market maneuvers. "Microsoft has targeted the network market and is aggressively extending its reach into the network," said David Phelps, an SPA spokesman. "What we are concerned about is Microsoft's use and leverage of its desktop monopoly over onto the server side."
Before the letter was even released, Microsoft COO Robert Herbold (who failed to get a seat on the SPA board earlier this year) sent a letter to association President Ken Wasch protesting the document. "Windows NT has enjoyed great success because it offers the price and performance our customers demand," Herbold wrote. "Our competitors' business model has been and remains one of low volumes and high prices, and it is only natural they would do everything possible to unfairly discredit our efforts on behalf of customers." Herbold also attacked the SPA's repeated criticism of Microsoft, which he said was fueled by competitors like Sun Microsystems, which joined the SPA in February.
For the fourth year in a row, Microsoft CEO Bill Gates topped the Forbes magazine ranking of the world's richest people. Gates, who is now worth around $62 billion ($51 when the magazine was published), is followed by the Walton family at $48 billion and Berkshire Hathaway Inc. Chairman Warren Buffet with $33 billion. Gates' long-time friend and Microsoft co-founder Paul Allen is on the list at number four with $21 billion. Since last year Gates has added some 25 billion dollars to his net worth, propelling him past the Sultan of Brunei (not included on the annual list because it excludes royalty).
According to a report Thursday from Bloomberg News, Dell Computer is currently negotiating with Microsoft to get permission to perform a seemingly innocent task: test Windows 98 on new PCs. Microsoft reportedly restricts PC assemblers like Dell from starting new copies of Windows 98, or "breaking the seal," by running them. This clause in the Windows license is likely there to prevent illegal duplication of the software. When asked about the negotiations, Microsoft said that they cannot disclose the specifics of licensing agreements with PC makers.
Wednesday Microsoft unveiled the TerraServer, a Web site composed of aerial and satellite photos of Earth areas that is being touted as the largest database on the Web. The site was organized to promote a prerelease version of SQL Server 7. Photographs used on the site, which were provided by the U.S. Geological Survey, Aerial Images and the Russian Space Agency, cover more than 30 percent of the Earth's surface. Some of the pictures are said to be so detailed as to show cars sitting in driveways around the world, but so far all the server has proven is how fast SQL can generate "Server is Temporarily Unavailable" messages.
Adding fuel to the freeware movement, IBM annouced last week that it will bundle the Apache Web Server with the new WebSphere applications server. This annoncement follows an apparent negotiations breakdown between IBM and Netscape over bundling Netscape's HTTP server with the product. IBM has also vowed to strengthen its relationship with the Apache project. WebSphere with Apache goes on sale later this week for $795 per server.
Yet another study shows that Microsoft is still gaining on Netscape's majority in the internet browser market. But the study was performed with data from 1997, before Netscape started officially giving its browsers away. Netscape says that their browser share has stabilized in recent months, holding steady in the mid fifty-percent range. Even if it dips below that point Netscape still has a commanding lead over Internet Explorer, still gaining from about 35 percent. Apprently most of IE's recent gains were at the expense of other browsers like Mosaic and Opera.
Shortly after selling its SoftImage subsidary, Microsoft invested some $285 million into Pluto Technologies, a privately held networking and video storage company.
Two weeks ago a federal appeals court overturned the injunction blocking Microsoft from requiring computer assemblers to bundle Internet explorer with Windows 95. Since Windows 98 is now the primary operating system, this ruling will has no effect whatsoever beyond driving MSFT stock higher.
On June 25 a majority of WebTV customers lost Internet access for more than 3 hours. Some users also reported that they were unable to watch television while the service was down. WebTV representatives said that only new users would experience this problem, although the troubles appeared to be wider spread than was admitted.
As-of July 1, all 18 million plus Hotmail users will be redirected to Microsoft's Internet Start web site when they log out. The company says this is no big deal because most Hotmail users don't log out at the end of their session anyway, leaving them open to security and privacy risks. (similar to ones experienced by Internet Explorer users)
Microsoft hit with class-action lawsuit
Old Microsoft bug hits Macs
Microsoft Word bug eats data
MS Patents Anonymous Ecash
Users Should Skip NT5, Analysts Say
Cell phone makers shun CE
The little operating system that could
Looking like Bill Gates has its rewards
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