Yes and/but there was real concern then that they'd stop supporting it which would have killed Mac use in corporate environments where specific version of office compatibility was a huge issue (As anyone who remembers the Office 2.0 vs Office 6 update on Windows will remember).
Unclear why people are disagreeing with this. It's outlined in the DoJ "finding of fact":
> Recognizing the importance of Mac Office to Apple's survival, Microsoft threatened to cancel the product unless Apple compromised on a number of outstanding issues between the companies. One of these issues was the extent to which Apple distributed and promoted Internet Explorer, as opposed to Navigator, with the Mac OS.
> At the end of June 1997, the Microsoft executive in charge of Mac Office, Ben Waldman, sent a message to Gates and Microsoft's Chief Financial Officer, Greg Maffei. The message reflected Waldman's understanding that Microsoft was threatening to cancel Mac Office:
> The pace of our discussions with Apple as well as their recent unsatisfactory response have certainly frustrated a lot of people at Microsoft. The threat to cancel Mac Office 97 is certainly the strongest bargaining point we have, as doing so will do a great deal of harm to Apple immediately. I also believe that Apple is taking this threat pretty seriously
[snip]
> Gates then reported that he had already called Apple's CEO (who at the time was Gil Amelio) to ask "how we should announce the cancellation of Mac Office . . . ."
Ah it was Word 2.0 vs Word 6.0 (which was roughly Office 3.0 vs Office 4.0)
Word 2.0 shipped on a lot of Windows NT computers with Office 3.0 and these were the days when there weren't forced updates and you had to pay so it hung around for ages.