US Appeals Court Sends Microsoft Case to Lower Court

A US appeals court on Friday sent the Microsoft antitrust case back to the US District Court, clearing the way for the lower court to assign a new judge to decide a new remedy to correct the software company's anticompetitive behavior.

The U.S. Court of Appeals for the District of Columbia's action follows its decision last week not to delay the case until the Supreme Court decides whether to hear its appeal.

In June, the appeals court overturned U.S. District Judge Thomas Penfield Jackson's order to break Microsoft into two companies, but upheld another ruling that the company operated as an illegal monopoly. It asked the lower court to select a new judge to decide what penalty Microsoft should face

Earlier this month, Microsoft appealed to U.S. Supreme Court to overturn the ruling that the company acted as an illegal monopoly. The company also asked the appeals court to hold off any action until the Supreme Court decides whether to take the case.

Also on Friday, Microsoft announced that its new Windows XP operating system for personal computers was ready for shipping to computer manufacturers, which are to begin selling PCs with the new system in October.

Windows XP includes many new features that are currently standalone products made by competitors, including a music video player, an instant messaging system and DVD player.






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