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EU Rejects Microsoft Settlement Proposal

Karl Cocknozzle writes "European Union antitrust officials have dismissed as insufficient Microsoft's offer to settle their most recent antitrust problem in Europe. Spokespeople for the European Commission and Microsoft declined to comment on a report in today's Financial Times that Microsoft had offered to include rival media player software from Apple and Real Networks on a CD-ROM packaged with personal computers to help resolve the case. Previously, the EU had demanded that Microsoft either unbundle Windows Media Player, or also bundle rival media players with Windows. It appears that Microsoft might get more than a slap on the wrist this time around."

5 of 517 comments (clear)

  1. Re:How Ironic... by wankledot · · Score: 5, Informative
    Totally different issue.

    Apple has never strong-armed its vendors into bundling quicktime and forced them to drop competing products... Because Apple doesn't have any vendors selling OS X systems.

    Apple is very friendly towards Real, and Real Player. A little less so since RealPlayer started playing quicktime on the PC (that pisses Apple off... a LOT), but they're still civil about it, and Apple knows that people want RealPlayer for OS X.

    There was never any attempt to block the product from working with the OS (quite the contrary, we got lots of help making it work w/ the OS, and even got some time @ Macworld to show it off. I worked @ Real on the product) I don't think Apple has any kind of obligation to include the player, given their position in the market, vs. MS's

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  2. Re:If I was running Microsoft by Pushnell · · Score: 5, Informative

    You clearly do not understand what a monopoly is and isn't. Don't feel bad, as neither does a substantial portion of the /. crowd.

    This is absolutely nothing like your example with BMW. To correct your analogy, the Microsoft BMW would :

    1) Enforce strict legalities on BMW dealers that they are not allowed to switch out the radios. Doing so can lose them their rights to deal in BMW products.

    2) Design their engine so that if you removed the radio & replaced it with another, the engine would no longer start.

    3) If a 3rd-party radio manufacturer finds a way around point 2, include legalities with your car's "license" (owner's manual/lease papers) that replacing the radio, even if it works, nulls and voids any manufacturer's warranty on the car.

    4) Since no radio manufacturer is going to produce radios for that line of BMW because of 1-3, perhaps an end-user will attempt that. Assuming they are intelligent enough to bypass point 2, and careless enough to ignore point 3, BMW would not release technical specifications for how the radio actually plugs into the car's wiring system. In fact, they would intentionally make the wiring as confusing as possible, so that you have little chance of creating a radio that works as well as the factory radio.

    I don't mean to start a flame war either. I'm just tired of hearing poor analogies like these that only indicate a lack of understanding of what a monopoly actually is.

    Finally, let me point out that most countries agree that monopolies are perfectly ok, as long as you don't illegally use your fortunate market standing to maintain your monopoly.

  3. Re:What about Apple? by One+Louder · · Score: 4, Informative
    The difference is that WMP is allegedly integrated into the operating system such that it cannot be removed or replaced by a third-party alternative. On top of that. Microsoft has been accused of actively preventing these third-party alternatives from being provided by the OEMs and have even been accused of making changes to the operating system to prevent them from running optimally or providing sufficient information to developers to do so.

    On the other hand, nothing prevents you from removing iTunes or iPhoto, or even QuickTime from MacOS, on top of the obvious fact that Apple is not a monopoly and therefore inherently abides by different rules.

  4. uhhm, hello? by RelliK · · Score: 4, Informative
    If I was running Microsoft, I'd just pull out of Europe.

    Good riddance! Unfortunately, I don't think microsoft would actually abandon the largest market in the world.

    I am totally against ethically dubious practices to achieve a monopoly. But I don't consider "bundling" anti competitive behavior. This is just another example of the EU over regulating.

    That's funny, cause that was exactly the reason for US DoJ anti-trust case against microsoft: ms leveraged monopoly in one market (desktop OS) to gain monopoly in another (web browsers). It was web browsers then, it's media players now. Microsoft was found guilty, and, as a punishment, was required to primise not to do it again.

    Why aren't they suing BMW for including radios in their automobiles?? After all, it is a "value added" additional component. It's not a car.

    Is BMW a monopoly? Are they trying to "cut off the air supply" to a competing radio manufacturer?

    I don't mean to start a flame war, but isn't this Microsoft Monopoly crap getting a little old?

    Yeah, cause we all know that if we just stop saying that then microsoft will not be a monopoly any more! I mean DoJ seems to think so...

    There are countless examples (especially in the computer industry) of companies that seemed like monopolies (IBM for example) that were devastated overnight when a superior idea entered the market place.

    You mean like the way mozilla took over IE's market share as soon as it was released? Oh wait... Let me spell this out for you: you cannot compete with a monopolist on the basis of better products that compete in the same market. That is why we have the rules to restrict abuse of monopoly.

    BTW, the only reason IBM lost the market power it had is that the market became (mostly) irrelevant. IBM still has monopoly in mainframes (which is what they were sued for), but mainframes are disappearing. It has absolutely nothing to do with building a better product.

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  5. Re:What about Apple? by cyber11 · · Score: 4, Informative

    Mac OS X 10.3 allows you to opt to not install iTunes, iPhoto, iMovie, iCal,... if you don't want to. This can be selected in the install screen of Mac OS X (use custom install). My mac at work has no i-stuff installed except iCal and iSync. And a mac is delivered without any OS installed (there is just one large empty partition). The box contains two CD sets: one disk image containing everything and regular install CD's.