Chalk Up Another Monopoly

By Acheron June 14, 2000 8:18 AM

(ZD)Everybody is doing the Instant Messaging thing. Some people are even using a couple of different ones like AOL IM and ICQ. Well, the Federal Trade Commission is requesting documents to see if AOL is holding monopoly power over the IM market. The big problem is that ICQ and AIM are on a closed network, meaning other IM underdogs a la Microsoft and Yahoo can't connect to AOL's networks. And with AOL controlling an estimated 90 percent of the market, the fed has some concerns that they are looking into. That's not the only anti-trust case that is being looked into with the Time Warner/AOL merger.

"Federal antitrust investigators also are looking into what the merger means for competition in the digital delivery of music, for the development of broadband Internet services and for nondiscriminatory access by competitors to video programming, people close to the case said."

Of course, competitors are in great approval. Instant Messaging is huge now, and in the coming years it could get exponentially bigger. If AOL isn't regulated now, then it will be even harder to regulate them then. I understand where the FTC is coming from. Under this particular case, I don't believe that they should be harshly regulated upon, but I do think that AOL should open its doors to the cometition. After all, competition only makes better products. Read more.