Hal Varian on the anti-competitive impact of technologies like Palladium

Hal Varian on the anti-competitive impact of technologies like Palladium
“NYT” article.

“If the industry supplying the products isn’t very competitive, then controlling after-purchase behavior can be used to extend a monopoly from one market to another. The markets for software operating systems and for music and video content are highly concentrated, so partnerships between these two industries should be viewed with suspicion. Such partnerships could easily be used to benefit incumbents and to restrict potential entrants, a point made by Mr. Anderson.”