TELECOM Digest OnLine - Sorted: Microsoft Studies Ways to Avoid Big EU Fine

Microsoft Studies Ways to Avoid Big EU Fine

Reuters News Wire (
Mon, 31 Jul 2006 12:34:03 -0500

Microsoft Corp has submitted documents required by the European
Commission in an effort to avoid further fines for breaching an
antitrust ruling, the European Union regulator said on Monday.

The Commission said it was studying the files and that it was too
early to tell whether the world's largest software company would be
subject to an additional non-compliance penalty.

"We have received technical documents from Microsoft. Our people are
looking at it, including the trustee, and it's too early at this stage
to give any indication of whether there will be another payment,
another penalty, and if there is to be another penalty, how much it
would be," Commission spokesman Michael Mann told a news briefing.

Microsoft said that it had made a final submission of 2,600 documents
which "further demonstrates our ongoing commitment to reaching full
compliance with the Commission's decision of March 2004."

"We are working with the trustee to ensure that all of this
documentation meets his requirements and to respond promptly and fully
to any further requests for information," the statement said.

Earlier this month, EU regulators fined the company 280.5 million
euros ($356 million) for defying a 2004 antitrust ruling that required
it to share key information on its office servers with rivals. They
warned the company to comply or face bigger daily fines from next

The information is needed so that rivals' servers can compete on a
level playing field with Microsoft's own. Microsoft must help its
rivals interconnect smoothly with its Windows operating system for
personal computers.

Part of the decision was based on an evaluation by an independent
monitoring trustee, British Professor Neil Barrett, who was nominated
by the U.S. software giant.


The non-compliance penalty imposed on July 12 was the first of its
kind and came on top of a record 497 million euro fine the Commission
levied in its landmark antitrust decision against Microsoft in March

That decision found that the company abused the dominance of its
Windows operating system to squeeze out competitors.

Microsoft faces a further fine of up to 3 million euros a day if it is
found to be still not in compliance with the ruling.

The move signaled the Commission's determination to force the software
company to obey its order. Microsoft had two years to comply.

Microsoft says it has made massive efforts to comply with the
Commission's ruling and had 300 people working to complete its package
of interoperability information.

The company, which has appealed against every ruling the Commission
has made against it, has said it will appeal against the
non-compliance fine as well.

Copyright 2006 Reuters Limited.

NOTE: For more telecom/internet/networking/computer news from the
daily media, check out our feature 'Telecom Digest Extra' each day at . Hundreds of new
articles daily. And, discuss this and other topics in our forum at (or)

For more news and headlines each day, please go to:

Post Followup Article Use your browser's quoting feature to quote article into reply
Go to Next message: Kenneth Li: "AOL to Launch Video Search Engine"
Go to Previous message: vikris: "Mypeople: New VOIP Phone Service"
TELECOM Digest: Home Page