Microsoft faces 'record EU fine'

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500M euros.

but the real battle is this bit.

As well as fining Microsoft, EU Competition Commissioner Mario Monti is expected to set limits on its practice of bundling software and services with its Windows operating system, which is an important part of the software firm's commercial strategy.
Mr Monti is also expected to demand that Microsoft provide a stripped-down version of its Windows system, like no media player.

This verbose bit is worth WAY more than a pissant 500M euros.


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Microsoft faces 'record EU fine'


Microsoft is expected to appeal against the EU's decision
Software giant Microsoft is reportedly facing the biggest fine the EU has yet imposed for abuse of market dominance.
The European competition commissioner will not reveal what penalties he plans to impose on Microsoft until 24 March.

But EU member states met to discuss his proposals on Monday, after which leaks swirled round Brussels that it would be nearly 500m euros ($616m; £334m).

Microsoft has a cash pile of more than $50bn, so even a fine on this scale is unlikely to hurt it commercially.

Microsoft has also made clear that it intends to appeal against the ruling so the case, which has already dragged on for five years, could still be a long way from a resolution.

Rumours converge

As well as fining Microsoft, EU Competition Commissioner Mario Monti is expected to set limits on its practice of bundling software and services with its Windows operating system, which is an important part of the software firm's commercial strategy.


Mr Monti has won broad EU consensus
Mr Monti is thought likely to demand that Microsoft offers a version of Windows that comes without the company's own media player.

His proposals were put to a meeting of representatives of EU's 15 members on Monday.

Leaks circulating in Brussels after that meeting suggested the fine would be 497m euros, according to both the Reuters and Dow Jones news agencies.

Germany's Handelsblatt and the UK Guardian newspaper both put the fine at 500m euros.

If the leaks are true, the fine will top the EU's previous record of 462m euros. That penalty was imposed on pharmaceutical group Roche after a scandal involving price fixing in the vitamin pills market.

EU wants more open Windows

Last-ditch talks to agree a settlement between Mr Monti and Microsoft chief executive Steve Ballmer broke down last week.

The sticking point was thought to be Mr Monti's proposals for restrictions on Microsoft's future practices.

The EU's investigation has found Microsoft to be an "abusive monopolist" which has skewed the market for audiovisual software to the detriment of its rivals.

Microsoft's Windows operating system sits on 90% of the world's PCs, so its decisions about what other software to include with Windows are hugely influential.

Reports say Microsoft will be forced to share proprietary details of its Windows software with rivals, making it easier for them to tailor their products to run on it.

Mr Monti is also expected to demand that Microsoft provide a stripped-down version of its Windows system for the same reason.

http://news.bbc.co.uk/1/hi/business/3559371.stm
 

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If I were Gates I would roll naked on a pile of $100 bills daily. Also, I would just stop shipping Windows into the EU. See how they all like Linux and whatever Apple is calling their latest OS.

I prefer Linux myself, being a Knoppix user, but really, the hysteria of MicroSoft is just stupid -- public policy and actions motivated by collective envy; precisely the sort of thing against which Hayek warned sixty years ago.


Phaedrus
 

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