Microsoft, Intel Losing Grip on PC World (cont.)

Fight continues

While PC makers stretch their wings, Microsoft disputes the Justice Department’s claim that PC makers lack control over the PC screens.
True, they must leave a handful of Microsoft-selected icons on the
Windows screen so that Windows users have a consistent experience, it
says. Beyond that, the screen is theirs. “They . . . can add all the icons
that would fit on the 80% of the screen that is left,” says Bob Herbold,
Microsoft chief operating officer.

PC makers can put the icons of other software makers, including
Microsoft competitors such as Corel and Netscape, on the Windows
desktop screen. Also allowed: Their PC company icons that link to their
online stores and technical-support sites. They can use the background of
the Windows desktop for logos. They can put an Internet search box on
the Windows desktop. Consumers can organize their desktop almost any
way they want.

PC makers cannot, however, put an icon on the Windows desktop screen
linking consumers to an Amazon.com or CDnow. They can on
subsequent screens, but PC makers want an earlier crack at directing the
consumer.

As e-commerce grows and PC prices drop, look for more PC makers to
grab more of the action. “The profit-pool opportunity is shifting and
expanding. There is some opportunity for us and I think you will see us
take advantage of it,” CEO Dell says.

By Julie Schmit, USA TODAY

Contributing: Doug Levy