In its motion to dismiss, Microsoft correctly argues that not only should the Wii be added to that market, but also the PSP and Nintendo DS. In the lawsuit, Datel argues that Microsoft monopolises the market for “Multiplayer Online Dedicated Gaming Systems”, but it only gets there by stating that the Nintendo Wii is not part of that market, which is an arbitrary stretch. To the contrary, Microsoft’s actions will leave approximately 50000 consumers with useless memory cards and (without the ability to access their data on the cards), forestall innovation, and deprive future consumers of the benefits of competition.” “Microsoft’s purpose in disabling Datel’s memory cards is to prevent consumers from choosing a Datel product that offers far better value for the price,” Datel said November 2009, “There is no benefit to consumers from Microsoft’s decision to target and disable Datel’s memory cards. Datel sold 2GB memory cards for as low as 40 USD, whereas Microsoft’s own 512MB cards go for about 30 USD, and on top of that, Datel used simple microSD cards, so you could backup data on your PC. UK-based Datel Design & Development, maker of 3rd party memory cards for the Xbox 360, then sued Microsoft, claiming it was engaging in anti-competitive practices. In October 2009, Microsoft released an update for the Xbox 360 which intentionally blocked 3rd-party (non-Microsoft) memory cards from working with the game console. The company in question? Ha, it’s Microsoft. The dust from that case has barely had time to settle, and already we see another company quoting it to support its own restrictive, anti-consumer practices. Remember that little legal spat going on between Apple and Psystar? That one’s been more or less wrapped up, with Apple being the sole victor there.
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