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EU and Microsoft...

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Maarten

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I just heard on the news that the European Commisioner (who is from my country, great...) for this particular field declared that Microsoft will have to pay 280 million euros in fines for violating the competition "laws". Apparently they did not help the competition enough. The sad thing is that they will probably pay it because they think market is worth it in the longer run, which will only embolden the politicians for the next time.

This is such disgusting news :(

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The news today (CNBC) said that Microsoft was in the process of complying but the commission was trying to goad it into faster action.

Short of withdrawing their products from the EU, it appears there's little that MSFT can do. However, half the battle is the sanction of the victim. Not sure how MSFT is presenting it's case in EU countries. Are they, for instance, putting out full-page advertisements saying that the protocols are theirs; that they do not wish to share them; that their customers should be the ones to decide one way or the other and only by buying or refusing to buy their products; that they will reveal the protocols if forced to do so, but not because it's the right thing to do?

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Well, I think once a company gives you a license for an indefinate amount of time, them revoking it would basically be a breach of contract. The individual buyers didn't violate their user agreements so I don't think they can do this without suffering even more in legal procedures. They could stop selling here, though. Like give the EU an ultimatum: Either you allow us to sell here freely, or we do not sell here at all. But I am not sure if that would be a good business decision.

Them making such a stand (providing they supply the right reasons for doing it) could very well change the minds of many people who currently do not buy their products, because they admire this decision.

Perhaps it is time for Microsoft to shrug, so to speak. At least where Europe is concerned... At the very least it might make those bureaucrats over here think twice before pulling more antitrust type laws out of their sleeves and leeching off the producers...

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Regardless of the details of the licences, if MSFT were to revoke licences as part of some overall pull-out of the EU, the EU would probably decide that that was unfair, and void. More importantly, MSFT wouldn't even consider do something like that.

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Well, I think once a company gives you a license for an indefinate amount of time, them revoking it would basically be a breach of contract. The individual buyers didn't violate their user agreements so I don't think they can do this without suffering even more in legal procedures.

As far as I know business licenses are yearly contracts.

the EU would probably decide that that was unfair, and void. More importantly, MSFT wouldn't even consider do something like that.

I'm sure the EU would decide that and I'm sure MSFT would pay the thugs to the day it's broken into a dozen separate companies - but should they do it? Not renewing any licenses and not selling any new ones while running a full page add explaining that *your government has decided I don't own what I made* is the reason, would be the ultimate non-sanction of the victim.

Maybe a surcharge on all products explicitly tagged as destined to pay their government's fine would serve the same purpose.

mrocktor

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Here's an idea ... definitely won't happen but it's fun to consider...

Fiction: Microsoft founder, Bill Gates announced today that he would personally reimburse Microsoft for any fines they pay to the EU. Saying, "Microsoft did nothing wrong, but if it did, I should pay, not my non-managing shareholders", Gates announced that he was earmarking $30 billion toward this end. "The money was previously ear-marked to my Africa foundation", said Gates. "However, if EU citizens want it instead, they can have it... not by right, but as charity from me. Frankly, I've stopped caring."

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That would be most awesome!

I imagine jaws drop around the world [including mine].

Of course, B. Gates is B. Gates, and he will not do that. But, it is a nice piece of fiction, nonetheless.

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Why should any business be expected to help the competition?

Frankly, I think Microsoft should tell the EU to stuff it. I realize that's not terribly good for business, but the company would survive ultimately. I also suspect EU might change its position (perhaps wishful thinking). Let's not establish an irritating precident.

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Correction:

This latest fine is not for violating anti-competition laws. Microsoft paid a $613 million fine for that last year. This fine (and a 2 million/day ongoing fine) is punishment for non-compliance with that ruling. Microsoft’s response has been that it has done its best to comply, and evidence suggests that the documentation demanded by the EU never existed, and cannot be produced fast enough because Microsoft’s operating system has become too complex for anyone, including itself, to fully document.

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