“European Union regulators have rejected as insufficient Microsoft Corp.’s latest offer to settle long-running antitrust charges but are continuing talks, sources familiar with the discussions said Tuesday,” Paul Geitner reports for AP Business. “With a decision from the EU due this spring, the U.S. software giant has been scrambling to avert what could be a far-reaching order to change the way it packages its dominant Windows desktop operating system and reveal more of its underlying code to rival manufacturers.”
Geitner reports, “Spokespeople for the European Commission and Microsoft declined to comment on a report in Tuesday’s Financial Times that Microsoft had offered to include rival media player software on a CD-ROM packaged with personal computers to help resolve the case. Microsoft said only that it ‘continues to work actively with the European Commission toward an amicable settlement in this case.'”
“Sources, speaking on condition of anonymity, told The Associated Press Microsoft’s offer had been dismissed by the commission as unsatisfactory but that the search continued for ways to make it acceptable to regulators. Microsoft is trying to avoid an order now in the EU case to remove its Media Player, which is gaining market share at the expense of rivals RealNetworks and Apple Computer. Such an order could also complicate its next planned Windows innovation: incorporating an Internet search engine to compete with Google’s,” Geitner reports.
Geitner reports, “Last year, EU regulators demanded that Microsoft either sell a stripped-down version of Windows or install rival media players.”
Full article here.