Washington, D.C. - Citizens Against Government Waste (CAGW), the nation’s largest taxpayer advocacy group, today called on state attorneys general in 18 states to terminate their ongoing litigation of the Microsoft antitrust case.  Last week, New Mexico became the first state to settle its suit against Microsoft.

“The U.S. Court of Appeals decision to overturn Microsoft’s breakup provides a natural opportunity to settle this case rationally,” CAGW President Thomas A. Schatz said.  “At this stage there is plenty of common ground for a fair and speedy resolution.”

“Hopefully Attorney General John Ashcroft and California Attorney General Bill Lockyer will follow New Mexico’s example of realizing the uselessness of further pursuing this case,” Schatz added.  New Mexico Attorney General Pat Madrid said, “I don't see the upside for having my state expending resources in a case of this magnitude.”  As part of the New Mexico settlement, Microsoft agreed to cover the state’s costs in the case, and the state will share in whatever final remedies come at the litigation’s conclusion.

In a spring 2001 report, it was calculated that the office of Attorney General Bill Lockyer has already spent 4422.5 hours on the case and requested reimbursement of $1,392,100.00 from the District Court.  “The Microsoft case has put taxpayers on the hook for at least $35 million in costs at the federal and state levels.  Investors have watched their portfolios nosedive by trillions of dollars since the U.S. District Court decision to break up Microsoft last June.  Additionally, economists have estimated Microsoft’s breakup could cost consumers $60 billion in higher software costs,” Schatz said.

“Polls show 75 percent of the public favor settling this case once and for all.  It’s time for everyone involved to get serious about resolving their differences, particularly California Attorney General Bill Lockyer, who can now chose whether or not to appeal the case all the way to the Supreme Court.  That course of action would only waste more time and money, and further disrupt the technology marketplace.  It’s time to settle,” Schatz added.

CAGW is a nonpartisan, nonprofit organization, dedicated to eliminating waste, fraud, and abuse in government.