Browser Wars II: The Release of IE 7 (BETA 2)

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:


Case Code : MKTG138 For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Rs. 25 for Shipping & Handling Charges


Computers, IT and ITeS
Case Length : 17 Pages
Period : 2004-2006
Pub Date : 2006
Teaching Note : Available
Organization : Microsoft Corporation
Industry : Computers, IT & ITeS
Countries : Global


This case is about Microsoft Corporation's (Microsoft) release of a new Beta version of its Internet Explorer (IE) web browser, IE 7 Beta 2 (IE 7) in April 2006.

Though Microsoft was a late entrant in the web browser market, in the late 1990s, it used its dominance in the Operating System (OS) market to gain a 96% market share in the web browser market by June 2004.

However, the release of Firefox, an open-source browser, in 2004, and the security concerns regarding the IE6 browser led to a decline in IE's market share.

The case examines the rationale behind Microsoft's release of the new version IE browser. The case also highlights the competition between Microsoft and Google Inc. for the search-based online advertising market.


Understand the nature of competition in the global web browser market.

Understand the challenges faced by a market leader with regard to the threat of new entrants.


  Page No.
Microsoft's New Browser 2
History Of Web Browsers 3
The Browser Wars 4
Security Concerns In IE6 6
The Release Of IE 7 Beta 2 6
The Search Wars 7
The Outlook 8
Exhibits 9


Internet Explorer, Microsoft Corporation, Firefox, Web Browser, Windows Vista, Google Inc., Netscape Navigator, Operating System, Adwords, Adsense, Microsoft adCenter, Linux, MacOS, Open Source Initiative, Windows Live Search

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