Home Messages Index
[Date Prev][Date Next][Thread Prev][Thread Next]
Author IndexDate IndexThread Index

Comes: Microsoft Blackmails Intel to Drop Linux

Hash: SHA1

omes vs. Microsoft - exhibit px06782, as text

From: Joachim Kempin
Sent: Monday, July 03, 2000 1:31 PM
To: Bill Gates; David Heiner (LCA)
Subject: Attorney/Client Privileged


- -----Original Message-----

From: Bill Gates
Sent: Monday, July 03, 2000 10:19 AM
To: Joachim Kempin
Subject: FW: CNET.com - News - Enterprise Computing - Intel to spend $100
million on assist

As I mentioned at the retreat we have a huge problem with Intel going against
us with

Not sure why they are doing this.

- -----Original Message-----
From: Brian Valentine
Sent: Friday, June 30, 2000 5:52 PM
To:   Bill Gates; Steve Ballmer; Carl Stork; Bill Veghte; David Heiner (LCA)
Subject:       FW: CNET.com - News - Enterprise Computing - Intel to spend $100
million on

Attorney/Client Privileged - Don't forward.



Plaintiff's Exhibit
Comes v. Microsoft

MS-CC-MDL 000000396175


- -----Original Message-----
From: Bill Veghte
Sent: Friday, June 30, 2000 5:31 PM
To:     Brian Valentine
Cc:     Tom Phillips
Subject:       FW: CNET.com - News - Enterprise Computing - Intel to spend
      $100 million on assista

Please keep confidential.     this is a nightmare...

- -----Original Message-----
From: Tom Phillips
Sent: Tuesday, June 27, 2000 10:33 PM
To:     Bill Veghte; Kim Akers (WINDOWS)
Sub3ect:       RE: CNET.com - News - Enterprise Computing - Intel to spend
      $100 million on assista

Yes, but we need to be incredibly sensitive with this data. It was dlsclosed
with extreme
concern. If Mary finds out that we know, someone will loose their job at Compaq
who is
very helpful to MSFT.

- -----Original Message-----
From: Bill Veghte
Sent: Tuesday, June 27, 2000 10:22 PM
To:   Tom Phillips; Kim Akezs (WINDOWS)
Subject:       RE: CNET.com - News - Enterprise Computing - Intel to spend
      $100 million on assista

may I forward to BrianV?

- -----Original Message-----
From: Tom Phillips
Sent: Tuesday, June 27, 2000 9:55 PM
To:     Bill Veghte; Kim Akers (WINDOWS)
Subject:       RE: CNET.com - News - Enterprise Computing - Intel to spend
      $i00 million on assista

According to Compaq insiders, the money is targeted at Enterprise and ISP/ASP
Sun systems,
where Intel will provide a stipend to Compaq $20MM for the efforts necessary to
that these are Linux based IA32 (and eventually IA64) based sales. Compaq
stated that it
would rather vector the business to Windows, but that was not an option with


MS-CC-MDL 000000396176


- -----Original Message-----
From: Bill Veghte
Sent: Tuesday, June 27, 2000 8:53 PM
To:    Tom Phillips; Kim Akers (WINDOWS)
Subject:      CNET.com - News - Enterprise Computing - Intel to spend $100
       million on assista

we need to make sure this does not impact our server appliance partnerships if
at all.



MS-CC-MDL 000000396177

Comes vs. Microsoft - exhibit px06791, as text


From: Bill Veghte
Sent: Tuesday, July 11,2000 11:15 PM
To: Bill Gates; Neil Calvin (LCA); Mike Porter; Robert (Robbie) Bach; Brian
Valentine; Bob
McBreen; Peyton Smith; Tom Phillips: Thomas Koll
Cc: Kate Sako (LCA); Dan Crouse (LCA); Steve Ballmer, Joachim Kempin; Paul
Maritz; Eric
Rudder; Bill Neukom (LCA): Carl Stork; Davld Thompson (NT); Kin Akers (WINDOWS)
Subject: RE: Intel call - Paul Ottelini

Today Mike Porter, TomPh, Kim Akers, myself and folks from NSG flew down to
meet with John Minor and his direct reports to get a state of the union on
both sides.

Net, net, this group has gone off in a bunch of directions in the networking
and communications space that does not track nearly as well as it could with
MS efforts. There is frustration on both sides over this and we will need to
do a couple more face to faces to get it back on track. (MikePo: chime in if
you think I missed anything or misrepresent), I haven’t worked with John Minor
before but he is quite a character to deal with. He opened the meeting,
blustering a lot about our lack of action, painful licensing terms, terrible
pricing, and poor technology and we went from there. He closed saying it
looked like we were moving in the right direction but he would remain
constructively skeptical until he saw the different groups closing some deals.
John aside, his guys seemed pretty reasonable and there was a good sense of
the opportunity and specific action items as we wrapped up. We do have some
damage control to do with them and we are going to have to work hard to change
the direction they are going down particularly in sw investments around Linux.

In general, we need to think about John and his team more like an OEM than a
silicon vendor. They will push us very, very hard on price point, licensing
terms, and cooperative marketing together. I think we are going to have to be
willing to be a more aggressive with them or walk away from them. I don’t
think there is a middle ground with this group. They don’t value our
partnership particularly highly right now based on the track record of the
last 18 months.I have attached a bunch of the details below and specific
action items for Jawad’s folks, Peyton. and Joachim/Thomas, MikePo, and my

As a sidenote, I probed hard with John on how hard Intel was pushing Linux in
general. I came away pretty convinced that these are not the guys that I was
hitting with our OEMs here and the Far East (Bill/Steveb: if you have not read
the piece of mail BrianV sent you last week on Intel and Linux, please do so).
John’s guys are focused on the networking and telecommunications space and
these were not companies or groups that I have been talking with. My bet is
that it is coming from Mike Fister’s org.

- -> John has 3400 people in his group. 1100 of whom he claimed were software
- -> They were surprisingly unfamiliar with our networking and communications
roadmap and how much progress we had made in Win2k even in things like TCP/IP
stack. With Jawed out, I am not convinced sending Gurdeep down there is the
right thing to do but we need to get them up to speed on the investments we
are making. At a minimum, Jawad should visit Jn the first couple of weeks he
is back.
—> John has four different teams; a communications building blocks group that
is doing things like the call control work, the communications/server
appliance group, the network devices group and a services/support group. In
terms of interacting with each group. Peyton/Thomas, I think you take the lead
on the first group, TomPh will own engagement with the communications/server
appliance group, and the network devices group, Peyton, we should talk about
because it wasn’t clear to me how much upside to MS there is engaging in
dialog around.

Specific details on engagement with the three key teams ….
–> Communications Infrastructure team (not sure I have the name right but it is
Howard Bubb’s group) I don’t have all the history between this group and MS
but it is pretty clear that we have managed to drift pretty far apart thru
Vathalla/Dialogic and the time is now to resuscitate. Peyton/Thomas, I think
you guys should follow-up particularly with Howard Bubb and John to make sure
we are clear on the messaging of our communications platform efforts. This
probably means a face to face. Maurice is going to send a separate piece of
mail on but they unloaded on me on how we weren’t being clear on our messaging
about the opportunities for Win2k as a communications development platform. We
have some damage control do do here.

–> Comrnunications/Server Appliances Group: We will engage with Scott’s team
and go out and try and win a couple of server appliance design wins. I want us
to focus first on the web blade, treating them like an OEM which is what they


Plaintiff’s Exhibit
Comes V. Microsoft

MS-CC-MDL 000000396186

are in this case. We have the model in place based on our design wins at Dell
and Compaq and in my opinion, we should be just as aggressive on price as we
were with Dell. The two other appliance efforts that we will engage on are
small business server (I talked at a conceptual level about Central service
and Intel, with the WEN product and they liked the idea) and provisioning
server. They were particularly enthusiastic about the provisioning server. We
should engage in dialog but this will be a lively internal debate about
whether we move to an appliance solution/strategy for this. This group is
where there Linux Investment Is heaviest In my opinion and can cause us the
most pain. TomPh will take the lead here.

–> Network devices group: Most of their stuff is on VXWorks today. They are
doing some stuff in Linux and looking at Win2k. We need to accelerate this
evaluation and where appropriate get them on board if there is real business
here They aren’t particularly happy with vxworks so we should also think about
them on WinCE with an aggressive source license.

—–Original Message—–
From: Bill Gates
Sent: Tuesday, July 11, 2800 2:09 PM
To: Neil Calvin (LCA); Mike Porter; Robert (Robbie) Bach; Brian Valentine; Bill
Veghte; Bob McBreen
Cc: Kate Sako (LCA); Dan Crouse (LCA); Steve Ballmer; Joachim Kempin; Paul
Maritz; Eric Rudder; Bill Neukom (LCA); Carl Stark
Subject: Intel call - Paul Ottelini



MS-CC-MDL 000000396187



MS-CC-MDL 000000396188

Comes vs. Microsoft - exhibit px03112, as text

—Original Message—
From: Joachim Kempin
Sent: Monday, August 14, 2000 1:57 PM
To: Bill Gates
Cc: Mike Porter, Carl Stork
Subject: Intel

I have been trying to gather some background info. The more I dig in it becomes
clear that Intel is connecting with all the UNIX groups inside the large OEMs
who are not MS friendly in the first place and are encouraging them to go to
Linux-which they call a unified UNIX(which seems stupid even to me)
they throw promotional funds at them to develop new devices based on this OS
and are encouraging Itanium work by asking the OEMs to adopt their own
apps(middle ware) and encourage some of their key ISVs to do so.
Some of the money is INTEL inside money- the just go beyond the normal rates or
qualify Linux adds under the same scheme.
Some OEMs are telling me that the total outlay for Intel is between 100-200M$
year-but there is no hard data for the total amount. Siemens told me they were
offered 5-6M$ for this 6 months ago and I know that they funded a netdevice in
NEC and made approx. 10M$ available.
I have been sending for some time mail with this info and mentioned it during
our exec retreat. The hard part is the answer- in one way we are married to
them on the other hand they are destroying the basis for the marriage. To play
this the hard way would prob cause more damage than we need and get more
attention than we need. On the OEM side I am thinking of putting hitting the
OEM harder than in the past with anti Linux actions, in addition I will stop
any go-to-market activities with Intel and only work with their competitors
(something which is easy to do because they normally put crazy demands on us).
For the rest of the company this is harder. I have been complaining that we
have no real Linux watch-dog group in MS, a lot of people have some ideas and
actions around this but nobody is really responsible- I will establish this
for OEM, may be we should do it for the company as well. I do not think you
can do more than explaining what that Linux is bad for Intel, let’s leave it
there and do as they do- work underground with the clear understanding to
promote and advantage the guys with less market share without declaring our
I would further try to restrict source code deliveries where possible and be
less gracious when interpreting agreements- again without being obvious about
it. The last thing we need need is them shutting us down- so this will have to
be a delicate dance. But openess with them and sharing our real plans should
not longer be done- they are not doing it either.


Version: GnuPG v1.4.9 (GNU/Linux)


[Date Prev][Date Next][Thread Prev][Thread Next]
Author IndexDate IndexThread Index