Concept
"Embrace, extend, and extinguish" (EEE), also known as "embrace, extend, and exterminate", is a phrase that the U.S. Department of Justice found was used internally by Microsoft to describe its strategy for entering product categories involving widely used standards, extending those standards with proprietary capabilities, and then using those differences in order to strongly disadvantage its competitors. The strategy and phrase "embrace and extend" were first described outside Microsoft in a 1996 article in The New York Times titled "Tomorrow, the World Wide Web! Microsoft, the PC King, Wants to Reign Over the Internet", in which writer John Markoff said, "Rather than merely embrace and extend the Internet, the company's critics now fear, Microsoft intends to engulf it." The phrase "embrace and extend" also appears in a facetious motivational song by an anonymous Microsoft employee, and in an interview of Steve Ballmer by The New York Times. A variant of the phrase, "embrace, extend then innovate", is used in J Allard's 1994 memo "Windows: The Next Killer Application on the Internet" to Paul Maritz and other executives at Microsoft. The memo starts with a background on the Internet in general, and then proposes a strategy on how to turn Windows into the next "killer app" for the Internet: In order to build the necessary respect and win the mindshare of the Internet community, I recommend a recipe not unlike the one we've used with our TCP/IP efforts: embrace, extend, then innovate. Phase 1 (Embrace): all participants need to establish a solid understanding of the infostructure and the community—determine the needs and the trends of the user base. Only then can we effectively enable Microsoft system products to be great Internet systems. Phase 2 (Extend): establish relationships with the appropriate organizations and corporations with goals similar to ours. Offer well-integrated tools and services compatible with established and popular standards that have been developed in the Internet community.