In 1995 and 1996, Netscape, Oracle, Sun and other visionary companies laid out grand plans for a universal Internet that would connect to every device with computing power. At the time Microsoft attacked and ridiculed those plans, and later used them as part of its defense in the government antitrust trial. But after months of promises, Microsoft has now unveiled a similar plan and is betting the entire future on its success.
According to Chairman Gates, the new initiative will be known as Microsoft-dot-net [Microsoft.NET] and will connect every device with a computer - cell phones and laptops to possibly even car radios and microwaves - to the Internet. That Internet, of course, will be a closed proprietary network controlled by Microsoft, so you'll have access to all of your software and settings from anywhere you connect - for a monthly fee. Gates also included speech and handwriting recognition technologies in .NET, promising to make those as universal as the telephone dial tone. Someday.
But while the Internet is generally seen a fast moving market, Gates said it will take as long as five years for all the .NET technologies to be set in place, since Windows.NET 1.0 (formerly Whistler) will ship no sooner than next year, and Office.NET won't see the light of day until 2002. Of course, it will be at least that long before the majority of computer users have a fast enough Internet connection to take advantage of any .NET services.

For the last year or so, an unknown person or persons have been digging through Microsoft's trash and bribing janitors for information about the company's relationships with 'non-profit' advocacy groups. After much speculation, Oracle Corporation released a statement admitting to having hired two investigative firms to dig up dirt on Microsoft. And according to several published reports, the groups hired by Oracle - using the tactics described above - found close ties to Microsoft and three supposedly independent lobbying and advocacy groups; The Independent Institute, the Association for Competitive Technology, and the National Taxpayers Union. As Oracle's press release pointed out, all three bodies "were misrepresenting themselves as independent advocacy groups, when in fact their work was funded by Microsoft for the express purpose of influencing public opinion in favor of Microsoft during its antitrust trial."
Microsoft ignored the results and attacked the methods, calling the investigation underhanded, and then accusing Oracle of being behind the government antitrust lawsuit and of funding a campaign to tarnish its already blackened image. A corporate spokesman continued by claiming that Oracle sponsors anti-Microsoft groups, but he declined to name any specifically - meaning that they don't have enough hard evidence to name names. [note to Oracle: your check is late this month] The Microsoft representative hinted that his employer may be considering legal action against Oracle, possibly filing charges because of the investigation.
Oracle CEO Larry Ellison said that he personally arranged the investigations to help Microsoft with its "disclosure problem." Ellison admitted the tactics may have been unethical, but added that everything was within the law and he feels "very good" about having uncovered Microsoft's secrets. Ellison added that he would have no problem with Microsoft investigation Oracle in a similar manner (they probably already do) and offered to ship the company's trash to Redmond so Microsoft could dig through it. Microsoft chose not to respond to that one, but Ellison may already have a fleet of trash-filled trucks headed in that direction anyway.

On the 18th of June, Microsoft announced that it was purchasing privately-owned game publisher Bungie for an undisclosed sum. According to a company statement, the purchase is intended to provide more content for Microsoft's vaporware shipping-soon-we-promise-really X-Box game console. But the motive behind this buyout may have been a little more devious, considering that Bungie is also one of the top game producers for the Macintosh and Linux platforms. As part of the deal, Microsoft had to buy a 20% stake in Bungie from Take-Two Interactive, which will retain the rights to Bungie's Myth franchise. Bungie will now apparently be absorbed into Microsoft's existing game development studios, where Halo and Marathon will join MechWarrior, MechCommander, Links and countless other once-popular games in the graveyard of visionless uncreativity.

One of the less clear aspects of Microsoft.NET is a new development language Microsoft is calling C#, or C-Sharp. A Microsoft statement says that the name indicates the language is a compromise between C and C++, with features from VisualBasic, XML, and Java tossed in for good effect. But since the specifics of C# are still extremely vague it could be anything (or nothing, like COOL turned out to be). While Microsoft specifically says the language is not an answer to Java, it appears to be just that - with some of the more popular features of Java like advanced security and garbage collection thrown in, plus the expected replacement of VisualJ++ with a C# or XML tool in future editions of VisualStudio. The whole thing is part of a broader move on Microsoft's part to make software development independent of the language used; a move that will make development easier overall but could reduce the benefits of using faster and more powerful languages and lock developers into one proprietary platform.

New rules concerning temporary Microsoft employees were enacted on June 30, preventing the company from employing anyone 'temporarily' for more than a year. The rules are the result of a lawsuit Microsoft lost against a group of former employees, some of whom worked years as 'temps', getting less overall pay and benefits than full-time workers. To keep from looking bad in the press and close the door of opportunity for future lawsuits, Microsoft has continued employing some 6,000 temporary workers, even though it now costs the company more to use them than traditional employees. However, the remaining permatemps have been punished by losing access to decent office space, company parties, and other perks.

Microsoft has submitted a new agreement to the European Union in an attempt to have that body approve their purchase of a stake in TeleWest, one of Europe's largest telecoms. The EU is apparently concerned (and justifiably so) about the potential for Microsoft to gain a monopoly on television set-top Internet access devices, which are extremely popular across Europe. Microsoft is trying to purchase the 29.9% stake in TeleWest that was owned by MediaOne, a cable entity that is being merged into AT&T [see NewsSource, May 17 '99]. A 25% stake in TeleWest is also owned by United Pan-Europe Communications, which recently received its own generous investment from Microsoft [see NewsSource, June 19]. The EU has until August 5th to make a decision about the purchase.

On the Asian side of Microsoft's attempted telecom monopoly, Titus Communications - which is 60% owned by Microsoft - is planning to merge with another cable company, Jupiter Telecommunications. AT&T's Liberty Media owns 50% of Jupiter, so the combined group would be almost completely controlled by US companies - something the Japanese government may not be thrilled about. Both Microsoft and AT&T plan to use the company as a platform to launch cable-based Internet service on the island nation.

Microsoft has announced that the official on-sale date for Windows ME is September 14 - two months later than most had expected, since ME went to manufacturers in late June. According to a press release, the $90 update will include little more than improved network functionality, digital camera support, and a video editing package designed to compete with Apple's iMovie.
Indicating that it could have doubts about its legal team, Microsoft has hired an additional law firm to shore up its defenses in preparation for an appearance before the Supreme Court later this year. Now in addition to its own internal legal department and the high-profile Sullivan & Cromwell firm, Microsoft is being represented by Washington DC's Sidley & Austin. Sidley has a wider body of experience in front of the supreme court, having already won two high-profile Supreme Court cases this year alone.

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Microsoft Database Hammered
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Bill Gates' roots in the trashcans of history
Nevada judge rejects Windows pricing suit
Win2K and ME users up creek without a floppy