Rivals fear Microsoft will bundle the Internet portal with the next generation of its Windows operating system, Windows 95, and charge a price lower than what other companies must do in order to survive. “Microsoft can keep undercutting competitors until they die out,” says Richard Shaffer of Technologic Partners in New York, noting the announcement will inevitably raise new questions about Microsoft’s market power. Last week several computer companies asked a federal judge to review the antitrust settlement agreed to by Microsoft and the justice Department in July, on the ground that it does nothing to increase competition. Microsoft dismisses the allegations, saying consumers have many choices of low-cost computers and software.
