It?s been leaking out all over the place: the Feds are thinking seriously about splitting up Microsoft. The Washington Post and USA Today have both reported that the US government could recommend breaking Microsoft into two or three companies to end its anti-competitive behavior.But taming Microsoft won?t be easy. As USA today?s Paul Davidson said, ?Prosecutors are coming to believe that simply restraining the company’s conduct - which was the focus of failed settlement talks earlier this year - might not be effective and could be more intrusive than a breakup.?The split would correct Redmond?s monopoly position finds itself: split the company into two or three parts, with the Windows division would become company in its own right - one that could include a browser in the operating system. A second company would sell software applications, and it might build some of the software (such as the browser) for Windows. Microsoft Network could also become its own company, competing against America Online. The goal is to ?tear down the barrier to competitors entering into a competition with Windows,? according to one correspondent. Microsoft’s insurer, Zurich American Insurance, is now suing to prevent the software maker from claiming coverage against the cost of defending private antitrust suits. Microsoft says its legal costs are covered under the policy, but the insurer disagrees. ?Microsoft is trying to shift the economic consequences of its allegedly anti-competitive conduct onto its liability insurers,’ said a lawyer for Zurich American.