EC Regulators Meet On Microsoft Ruling

[DudeAsInCool]

EU regulators to discuss EC's Microsoft ruling

By Paul Meller

IDG News Service, 03/12/04

Competition regulators from the 15 European Union member states will gather in Brussels Monday to discuss the European Commission's negative draft ruling against Microsoft.

The draft ruling brands the company an abusive monopolist for the way it used its ubiquitous operating system, Windows, to stifle competition in the markets for video and music playing software and server software, according people close to the case.

In order to restore competition in the first market, the Commission wants Microsoft to sell two versions of Windows to PC manufacturers: one with its Media Player stripped out, as well as the existing version that has Media Player bundled into the operating system, people said.

To redress the balance in the market for server software, which drives PC networks, the Commission wants Microsoft to reveal enough of the secret code in Windows to allow rival server software makers to design products that work equally well with Windows on PCs as Microsoft's own server software.

The regulator is expected to ask Microsoft to decide what needs to be revealed. It will ask the Redmond, Wash., company to report back within two or three months of the ruling - expected on March 24 - with specific proposals. The Commission would then ask rivals whether what Microsoft has offered is enough to restore competition, according to people close to the case.

There is still a small chance that Microsoft may reach a settlement with the Commission, thus averting a negative ruling, but time for such a solution is rapidly running out.

The IDG News Service is a Network World affiliate.

http://www.nwfusion.com/news/2004/0312euregul.html

[Malicious Intent]

This really could go either way. Either M$ will buy its way out of trouble, or the never to be half hearted commission will go the whole hog.

[DudeAsInCool]

I predict the former...

Here's another more interesting story on Microsoft by I-Cringeley, the Silcion Valley wizzard (courtesy of a link provided by Slum Goddess)

In my last column about Burst v. Microsoft a couple weeks ago, I wrote about finding on the court web site a document that mentioned Jim Allchin, head of Microsoft's Platform Group -- a VERY important guy in the company. The document I found wasn't much, just proof that a summons had been delivered, but the title was very provocative -- something about Allchin ordering Microsoft employees to destroy "business-related e-mail."

Uh-oh.

Almost all the documents in this case are under court seal, so I suspected the appearance of this one was a mistake. But then I talked to a few laweyrs and learned that this class of document (proof of service) is not normally considered serious enough to seal. I also learned that there are no strict guidelines on how such documents are titled. So it appears that Burst's very clever lawyer, Spencer Hosie, was using a loophole to give the world a hint of what's at stake for Microsoft and Jim Allchin. Only nobody really noticed, I mean beyond me.

The implication of this document is that Burst found an e- mail from Allchin ordering people working under him to destroy certain e-mails. If true, this goes against Microsoft's stated position that it leaves it up to individual employees to decide what to erase and what to keep -- a position that has been very useful to date because it has allowed Microsoft to lose embarrassing e-mail pretty much with impunity.

IF the Allchin e-mail is for real and IF it orders the destruction of e-mails specifically important to Burst's case, then Microsoft is in big trouble -- not just in this case but others. Remember that Microsoft is subject to a consent decree or two that hold their corporate behavior to very specific standards. Yeah, right.

At some point in the near future, there will be a public hearing about this that should be very interesting. And I'm sure it will be covered in Hosie's upcoming three-hour deposition of Bill Gates. What will Bill say? I'm guessing he'll blame it on Allchin, who'll be left twisting, slowly twisting in the wind.

Now THAT's a story.

http://www.pbs.org/cringely/pulpit/pulpit20040311.html

[slum_goddess]

sickening, huh? let's hope EU isn't deluded or influenced by ms's vast amount of throwaway cash as the amerikan gov has been.