Microsoft throws in the towel in nine-year fight with EU regulators

“Microsoft Corp.’s decision to throw in the towel on its nine-year fight with European regulators could signal tougher regulation ahead for big, global technology companies operating in Europe,” Charles Forelle reports for The Wall Street Journal.

“The U.S. software giant said Monday it would not appeal a decisive ruling by a top European Union court last month, which backed sweeping powers for EU antitrust regulators to tackle abuse of monopoly position by technology companies. Microsoft’s decision not to appeal leaves that ruling as settled law,” Forelle reports.

“For Microsoft, the defeat means the software giant will need to tread carefully in Europe when it bundles products or features into its core operating system. It will also need to welcome competitors with fairly open arms if they come calling for ways to make their software work better with Windows,” Forelle reports.

“Under a deal reached after negotiations over a recent dinner between EU antitrust czar Neelie Kroes, and Microsoft chief executive Steve Ballmer, Microsoft agreed to slash the cost it was charging to license the so-called “interoperability information” needed to make software work well with Windows. The EU in return stopped the clock on record fines against Microsoft, which were accruing at €3 million per day,” Forelle reports.

Full article here.

[Thanks to MacDailyNews Reader “Lurker_PC” for the heads up.]

34 Comments

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  2. @Grok
    Apple isn’t next. Though they are the only producer of the Macs they aren’t monopolistic the way Micrsoft was that got them in this lawsuit.

    MS bundles IE and Media Player with their OS, prevent them from being removed without killing the OS, and made it hard for alternatives to work as well with the OS.

    Apple bundles Safari and iTunes with their OS, but you can remove them without a problem, and alternatives can do as much or more than Apple’s options.

    Apple is safe from the EU on this point.

  3. ArchAngelNix…

    The un-bundling of Explorer and Media Player from Windows was a lame attempt to punish MS for their predatory practices. MS made Explorer a PART of Windows OS, it was NOT just an additional application.

    Not fully sharing code was only ONE way MS hurt competitors. For instance, only MS products were given full access to the Windows OS, so only MS products could link on low level with Windows.

    Obviously, someone else could explain it all better than I.
    There are numerous sources to explain the kind of tactics MS has used over the years to cripple or destroy competition of any kind.

  4. ArchAngelNix –
    I wasn’t suggesting a Media Player parallel, unless you count Quicktime, but what about the iPhone? The iPod? There are already lawsuits here in the US about Apple’s so-called monopolistic behavior with both the iPhone and the iPod. And let’s not forget that ‘ultimatum’ from Norway’s Ombudsman..

    Don’t get me wrong – I don’t agree. Apple has an imperative to try and control the user experience of their products to make them as attractive to buyers as possible in order to maximize profits – but lawsuits aren’t undertaken by altruistic hippies high on love and righteous weed… they are undertaken by lawyers. If there’s money in it, they’ll go after Apple…

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