American History 1988
Chapter 400 - 389: Whose Hands Will the Deer Die In

Chapter 400: Chapter 389: Whose Hands Will the Deer Die In

How many Internet users are there in the United States now? The answer is at least thirty-four million.

While no specific agency has investigated this data, according to internal estimates from the CIX Alliance, this number is not an overestimation.

Looking back at the conclusion of the Internet survey report from early ’96, there were a total of twenty-five million people surfing the web in the United States at that time.

This means that in just over half a year, the number of Internet users has increased by nearly nine million.

The growth rate is accelerating, and an annual increase of twenty million users is a conservative estimate.

So here’s the question, just relying on the growth market, the number of new Internet users in ’96 accounted for nearly half of the total population.

That is to say, when Microsoft firmly controls these growth markets, it would only take one year for its own Navigator browser to reach a 50% market share.

Following that, two years later it would surpass Netscape to become the market leader. Three to four years down the line, the market would have little to do with Netscape.

This is why Gates has always kept a close eye on computer manufacturers; they control the source of the browser market to some extent.

Therefore, to quickly achieve its Internet strategy, Microsoft chose the most direct and intense approach.

There was no second option, all newly manufactured computers on the market had to be equipped with only one browser, Navigator.

Microsoft was very confident in the final choice of the computer manufacturers; they had no other options.

Once Compaq and now Hewlett-Packard, although they have both resisted, eventually, all have chosen to compromise.

Yes, even HP, which had issued a public statement, now has to accept this outcome.

As John Yang said in his letter, if HP had other suppliers to choose from, they would definitely not choose Microsoft.

But the fact is, aside from Microsoft, they have no other suppliers as a backup plan.

After making an example out of Compaq and suppressing the strong-willed HP, Microsoft now seems to be able to manipulate computer manufacturers at will.

Apart from these actions, in order to vie for dominance in the Internet development area, Microsoft also began to announce the development of its own Web language environment—ASP.

Does this name sound familiar? The Web language environment based on Java is JSP.

Yes, after internal discussions, Microsoft believed that one of the reasons Netscape’s browser could attract so many developers

was largely due to the role of Java, or rather it was the combination of Java and JSP that was key.

So, to counter Netscape’s dominance in the development language, Microsoft also prepared to develop its own language environment.

It knew all too well the advantages of controlling the rules; its own Windows system is the prime example.

For instance, once Netscape had JSP, whenever this language was updated with new features,

the Netscape development team would be the first to obtain the development kit; they were already developing the next generation product before the new version of JSP hit the market.

In contrast, other developers following behind Netscape, including Microsoft, could only wait for the new language library to be released before they could start developing new plugins.

Therefore, to surpass Netscape’s influence in the browser market, Microsoft had to develop its own Web language.

Otherwise, it would always be at the mercy of others, and it was not impossible for its development pace to be deliberately slowed down.

Meanwhile, to prevent further expansion of the Java language, Microsoft was quietly misleading third-party developers, creating obstacles to its proliferation.

Alright, Microsoft was not only targeting Netscape but also attacking Java.

They believed that Java’s cross-platform characteristics could threaten their operating system.

At the same time, the Web server business based on the JSP environment also caught Microsoft’s eye; the Internet worldwide was developing at an unprecedented rate.

Almost every company must have its own website, and they all need to purchase servers to operate the website, or rent servers from professional data centers.

Whether they maintain the website themselves or lease from data centers, it will stimulate the explosive growth of the server market.

Source code and Sun Microsystems are already leading in this field, and the market is still far from saturated.

So, whether to suppress Java or for the rapidly expanding server market, Microsoft had ample reasons to develop its own Web language environment.

And all these efforts revolve around the current browser war, with controlling computer manufacturers being the direct market approach.

Developing the ASP language, on the other hand, is a far-sighted move to rid itself of Netscape’s influence.

Of course, comparatively, the former measure is more eye-catching at the moment.

Banning Netscape’s browser from appearing in the pre-installed systems of computer manufacturers? The industry was stunned by Microsoft’s aggressive tactics.

In the current Internet environment, everyone upholds the spirit of development and sharing.

But Microsoft’s actions undoubtedly violate this spirit, so when the news spread, it immediately provoked widespread condemnation.

However, at this time, some chose to kneel before Microsoft; yes, some computer manufacturers have removed the Netscape browser from their pre-installed systems.

The company that surrendered at the speed of light as soon as Microsoft issued the ban was Dell.

Dell’s current position is as a low-cost personal computer supplier, profiting from bulk sales to corporate users.

It needs the full cooperation of other business partners, especially Intel and Microsoft, to realize a diversified product line and large-scale production.

At the same time, Dell also received the best discount prices and promotional deals from Intel and Microsoft.

Dell needed this price advantage to continue its strategy as a low-cost personal computer supplier.

Therefore, Dell willingly complied with Microsoft’s demands at first notice.

It silently stopped pre-installing Netscape’s browser on its computer products, turning a deaf ear even when customers requested it.

Thanks to its obedient performance, Dell continued to enjoy preferential policies in its dealings with Microsoft without a doubt.

One bowed early, the other provided timely concessions; the two worked together seamlessly.

Microsoft wanted other computer suppliers to see that those who complied would be rewarded, while those who did not might very well go out of business.

The industry fell into an eerie silence, and just as some were getting restless, Netscape made its move.

In late July, Netscape CEO Barksdale formally approached the Federal Trade Commission and submitted an antitrust complaint against Microsoft.

Simultaneously, a legal team led by Lübeck began launching a series of lawsuits against Microsoft through the California Federal Court.

The great battle finally began, with both parties’ aggressive tactics drawing strong interest from the public.

On one side was the world’s largest software company—Microsoft, and on the other was the flagship of the internet—Netscape.

Of course, what’s more interesting are the figures behind them, one Gates, one Price.

Both men were heavyweights in the computer industry, one in Seattle, the other in Silicon Valley.

The long-standing animosity between Northern California’s tech industry and Seattle was just one more testament to their complicated relationship.

Of course, from many angles, people preferred to see the showdown between Microsoft and Netscape as a war over the right to speak for the information age, between Gates and Dean.

"Gates has conquered the computer world, and now he wants to conquer the internet. But clearly, Price is not willing to see this happen, because he is the one on the throne," Time magazine commented on the browser war between Silicon Valley and Seattle in its latest issue.

The cover of this issue featured Gates and Dean in profile facing each other, and the title was "Whose Realm Will the Internet Be?"

The standard-bearer of the internet media, Yahoo, was not to be outdone.

Since Netscape submitted its antitrust investigation request to the Federal Trade Commission, Yahoo had added a browser war timeline to its homepage.

From Netscape’s release of its first browser to Microsoft’s entry into the fray and the tactics used by the latter in competition, all were updated along the timeline.

In particular, Microsoft’s interference with Netscape’s arrangements with computer manufacturers was highlighted and bolded.

If you were to go by Yahoo’s editorial press releases, Microsoft was nearly confirmed guilty of monopoly.

This was a severe accusation for any corporate titan, as former giants like Standard Oil and AT&T could attest.

Yet Gates seemed unconcerned, "This is their death throes; our Navigator is conquering new territories!"

He thus encouraged Microsoft’s internal staff, while simultaneously sending people to lobby Congress in secret.

He wasn’t alone in this, as Dean had long made arrangements for political lobbyists in Washington.

His allies were far more numerous than the lobbying groups organized by Gates, and more importantly, Silicon Valley was doing the same thing.

Yes, Silicon Valley had its own political lobbying groups, serving every influential company in the area.

Netscape was a microcosm of the internet era in Silicon Valley, and now its peers were united in directing their animosity towards Microsoft.

Many first-generation entrepreneurs had retired, but they did not hesitate to stand up and loudly denounce Microsoft’s dirty tactics.

In their eyes, Microsoft was a greedy capitalist advocating "pay for software", a bug-maker, always releasing subpar first-generation products.

Now, it was this evil empire that was suppressing Netscape and had to be stopped before further damage was done!

Washington had become somewhat chaotic with the sudden influx of two forces, and in the corridors of power built of marble, suits from Silicon Valley and Seattle often collided.

Aside from cold stares and a few mocking taunts, they did not engage in pleasant conversation.

The White House did not take a stance immediately, as it needed to display a sincere willingness to listen to both sides.

Moreover, whether it was Bill Gates or Dean Price, both names were of considerable significance.

They were among the wealthiest and most respected individuals in America.

Even the blunt politicians of both parties were reluctant to comment on them, especially on the matter of who was right or wrong.

But for the media, this was a festive occasion; the world’s richest man going head-to-head with the second richest?

Could there be any news more topical, more explosive, or more eye-catching than this?

They picked up their pens and began to draft news releases of differing stances, finding the spectacle endlessly entertaining.

However, as the outside world was abuzz with excitement, the competition between Netscape and Microsoft escalated further.

Yes, the truly intense phase had not yet arrived.