EU slaps a record $1.3 billion fine on Microsoft

By on February 27, 2008, 11:02 AM
The European Union has slapped Microsoft with a record $1.3 billion fine following a failed appeal in an antitrust case late last year. The case dates back to 2004, when the commission judged that Microsoft had abused its dominant position in the PC market by refusing to give rivals access at a fair price to communications codes which would allow their products to work properly with Windows.

Though Microsoft on October 2007 announced that it would fully comply with the commission’s 2004 ruling and lowered its licensing fee to a flat rate of €10,000, its decision came over three years after the initial ruling - hence the further fine levied today. Microsoft said that these fines were about past issues that have been resolved and has pledged it is now working under new principles to make its products more open.




User Comments: 7

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aikions said:
EU wouldn't have a chance against Microsoft.
9Nails said:
I agree aikions, this is an EU public stunt. I agree with Microsoft that the EU is trying to improve upon past resolved issues where they didn't get as much as they wanted form Microsoft. I don't believe that these fine are in the public's best interests.
Mictlantecuhtli said:
So we all should just acknowledge that Microsoft is above the law* and deal with it?*In this case, EU fair business regulations
9Nails said:
Mictlantecuhtli, Microsoft isn't above the law, as suggested. They do have to meet EU regulations like everyone else. Which, after a long arduous court battle they have agreed upon what is a "fair" price. However there is nobody else in their position! IBM, Apple, and SUN aren't forced to meet the similar set of "standards" applied only to Microsoft. Simply, when there's a giant digging gold from your neighborhood the Mayor is going to make sure that he gets his share. (Even if he did nothing to earn it.) The EU and Microsoft already agreed on a fair price. But now the EU wants more money, and they don't have a good reason for taking it.
ravisunny2 said:
[b]Originally posted by 9Nails:[/b][quote]The EU and Microsoft already agreed on a fair price. But now the EU wants more money, and they don't have a good reason for taking it.[/quote]Did Microsoft pay that 'fair price' ?
icye said:
This may be a case that Microsoft never paid the EU in fines and the amount calculated is including interest. Companies that hold monopolies such as Microsoft and Intel are easy targets for the government.
9Nails said:
[b]Originally posted by ravisunny2:[/b][quote][b]Originally posted by 9Nails:[/b][quote]The EU and Microsoft already agreed on a fair price. But now the EU wants more money, and they don't have a good reason for taking it.[/quote]Did Microsoft pay that 'fair price' ?[/quote]Oh, heck no! Microsoft Lawyers > EU Lawyers. They argued for an oral hearing - effectively delaying the need to pay the fines! But, why settle for a few quid when the EU really wants to win the price of a small theme park from the deal? This will be stalled for a while but it's all posturing any ways.
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