Antitrust Déjà Vu: EU Threatens More Microsoft Fines

It seems that Microsoft will never be able to satisfy European Union (EU) antitrust regulators. Yesterday, representatives of the European Commission (EC) once again complained that the software giant's response to its 2004 antitrust ruling was inadequate, and raised the possibility that Microsoft would face further fines.

"This is the first time we have been confronted by a company which has failed to comply with an antitrust decision," EC spokesperson Jonathan Todd said yesterday. "We are in unknown territory."

This issue has been dragging on for so long, it's hard to even keep the details straight. The short version goes like this: In March 2004--about three years ago--the EC found that Microsoft had violated various EU antitrust laws; the commission fined Microsoft approximately $630 million and ordered the company to make several changes. One of these changes required Microsoft to create a set of documentation that would help licensees create software that could interoperate with its Windows Server products. Microsoft delayed complying with virtually all of the EC's requirements, but the documentation issue has dragged on the longest, with the EC repeatedly finding Microsoft's submissions inadequate. It happened again this week.

On Wednesday, the EC sent Microsoft yet another statement of objections, which complains that Microsoft's latest submission is, once again, incomplete. The company has four weeks to respond to the objections, and the EC says that Microsoft faces possible fines of $4 million a day for noncompliance at that point. Microsoft was previously fined $371 million, in July 2006, for not complying with this same part of the antitrust ruling.

Furthermore, the EC complains that Microsoft is charging its competitors too much for the documentation. The EC says that the documentation doesn't warrant exorbitant pricing because it offers "no significant innovation." But give Microsoft credit for one innovation: They've really figured out a way to drag out compliance to unrealistic lengths. "This is a company which apparently does not like to have to conform with antitrust decisions," Todd said.

End of Article

Bill Gates should post an article on the Microsoft website called:

"Thoughts on Server Documentation"

;-)

sticknick March 01, 2007 (Article Rating:

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It's Groundhog's Day, again........

What is the EC trying to prove here? That they can jerk around a successful US company? I think they've succeeded.

jersey72 March 01, 2007 (Article Rating:

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I think EU has taken the wrong path, although I think the documentation is necessary. I think they should focus more on the "oWs-external" competition than the "internal". That is prohibit any kind of extortions of the kind, either you sell oWs with new PCs or we will charge you more. I think this is the kind of monopoly abuse they should focus more, than the oWs internals. In any case I do not think MM%M will manage to continue much with its current route of approaches (in the market, not considering any fines).

gnu-user March 01, 2007 (Article Rating:

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When will the EU get onto the price diffential for Windows Vista. The same software costs much more in Europe than in North America.

paulusar March 01, 2007 (Article Rating:

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The EU has no problem railing Microsoft about interoperability, but the last I checked BMW has never been sued because their closed platform doesn't allow Audi to make transmissions for the 700 series.

I have no problem with documentation on how things work, I love that. However, if someone decides to take his marbles and play in a room by himself, you really can't complain about the way he's playing marbles, it's his business. Microsoft developed their products all in-house, and they have a quality product. Part of that privilidge is that you know how it works, and others don't. They have to pay to play, and if the price is to high, well they can go spoot themselves (let's see the asterisk police stop that one).

Impressively, Apple has faced European litigation recently as well (although not by the EU) over their Fairplay DRM. Normally, I would be upset, since the argument is basically again 'waaaah tell us how your magic works!' (yes I know I'm oversimplifying the difference between trade secrets and interfaces, thus making an IP clusterspoot, but my point still stands) but in this case, Apple needs a good slap in the face... it even made Jobs finally agree that DRM is bad.

Anywho, the EU getting uppity is nothing to lose sleep over, they don't actually 'do' anything.

will84 March 01, 2007 (Article Rating:

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Hmm. Maybe if Bill Gates would stop eating babies.

stevejobs March 01, 2007 (Article Rating:

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AHAHAHAHAHA!

that's funny - in that it just confirms that stevejobs' has no credibility.

nice one, Mackie!

why criticize what Steve Jobs says when his own userbase is making him look like a fool already?

XP

Waethorn March 01, 2007 (Article Rating:

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"What is the EC trying to prove here? That they can jerk around a successful US company?"

You'd think by now that they would realize the futility of getting any kind of enforceable judgement against Microsoft. If there's one thing Microsoft knows how to do, it's delay, delay, delay These lawsuits last longer than a Vista development cycle.

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"The EU has no problem railing Microsoft about interoperability, but the last I checked BMW has never been sued because their closed platform doesn't allow Audi to make transmissions for the 700 series."

LOL...my "Air Wick Freshmatic" isn't compatible with my "Glade PlugIn" air freshener, either, but European countries aren't suing over that. "I want my Zune songs to play on my iPod! I want FairPlay for my Hyundai Flash MP3 player! Sue Microsoft! Sue Apple!" Waaa Waaa Waaaa. Buncha freakin' babies.

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"Impressively, Apple has faced European litigation recently as well ...Normally, I would be upset...but in this case, Apple needs a good slap in the face."

Apple fanbois: "Go Europe! Get those bad guys (Microsoft)!"

Windows fanbois: "Go Europe! Get those bad guys (Apple)!"

The rest of us: "Hey Europe! Sip your freakin' Bordeaux and STFU."

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"Hmm. Maybe if Bill Gates would stop eating babies."

I hear they go well with a nice dry German Reisling. That's what Ballmer says, anyway.

lotsamystuff March 01, 2007 (Article Rating:

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"I hear they go well with a nice dry German Reisling. That's what Ballmer says, anyway."

i wouldn't bother losta - you never had credibility in the first place!

XP

Waethorn March 01, 2007 (Article Rating:

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Why criticize Waethorn, when his pro-baby-eating agenda is laid clear for everyone (including his mother) to see?

stevejobs March 01, 2007 (Article Rating:

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