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Microsoft Accepts Most EU Demands, But Not Over Source

JoeGi writes "Microsoft sent a letter to EU regulators Monday accepting 20 out of the Commission's 26 demands. According to BetaNews, 'The remaining stumbling block to full compliance is source code licensing' as Microsoft is refusing access to open source projects. Microsoft officials told BetaNews they are trying 'to find a way that companies can implement these technologies in code that would get distributed with open source products, but the source code wouldn't be published itself.'"

42 of 587 comments (clear)

  1. The article says "accepts"... by Anonymous Coward · · Score: 4, Insightful

    The article says "accepts", as if they have a choice? This is the law, is it not?

    1. Re:The article says "accepts"... by 99BottlesOfBeerInMyF · · Score: 5, Insightful

      The other option is for Microsoft to just stop selling and supporting software in the EU. I honestly believe the EU would recant if MS pulled something like this.

      I take it you failed both math and law classes in high school?

      No one walks away from 25 billion in profit a year to avoid being fined 1.4 billion. No one with any brains creates a giant new market for their competition. No one in their right mind refuses to comply with the people who direct the army and police.

      If Ballmer tried this he'd be fired by the end of the day. If the board of directors all went insane and did not fire him the EU would direct MS Europe to split from their parent company and comply with the orders. If they still refused they'd toss the European director in a prison and tell the next in command to comply.

      MS may have some pull but get real.

    2. Re:The article says "accepts"... by Kiryat+Malachi · · Score: 5, Insightful

      The problem is, MS doesn't view it as 25 billion in profit. They genuinely think that by opening up their source, they make *all* of their profit, worldwide, vulnerable. If they think it'll lose them the US and Japan to stay in Europe, they will *absolutely* walk away from the EU.

      --

      ---
      Mod me down, you fucking twits. Go ahead. I dare you.
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    3. Re:The article says "accepts"... by Roger+W+Moore · · Score: 4, Interesting
      The other option is for Microsoft to just stop selling and supporting software in the EU. I honestly believe the EU would recant if MS pulled something like this.

      ...or not...could Microsoft really afford to have the EU (which has a population greater than the US) being forced to use a different OS? Sure it would be an expensive and difficult change which nobody wants to force but the results would be catastrophic to MS. If, for example, every company in the EU was forced to use Linux (or OSX) it would become extremely serious competition to Windows outside the EU.

    4. Re:The article says "accepts"... by cortana · · Score: 4, Insightful

      They'd just lobby to get the politicians who are making trouble for them replaced with more... agreeable alternatives.

    5. Re:The article says "accepts"... by shawb · · Score: 5, Insightful

      I honestly believe they'd pull out before opening their source. Yes, they will try evey other option they have first. Yes, one of those options is bound to work and allow a mutually agreeable solution. But the threat of pulling out may pull some of the bite out of the EU's ferocity. How long do you think the careers of a politician who "forced" MS out would be with their constituency being companies, government agencies and private individuals being forced to switch to an alternative? I guess it depends on how deeply imbedded the EU is with MS software, but in the US with Windows being on the desktop of just about every person in power... MS has a lot of leeway. Switching over would be a large expense for some organizations, especially ones with custom software and documents in proprietary formats.

      Yes, it would prove that they are a monopoly. It would also prove that there isn't anything anyone can do about it.

      --
      I'll never make that mistake again, reading the experts' opinions. - Feynman
    6. Re:The article says "accepts"... by SA+Stevens · · Score: 5, Interesting

      IBM walked away from the India market this way in the 1960's. It was a delicious moment for those of us who despise government bureaucrats bearing demands.

    7. Re:The article says "accepts"... by tftp · · Score: 4, Insightful
      I recall hearing that MS has enough cash reserves to go another seven years without making another dime.

      That might be so, but the stock price will fall right through the floor after the very first quarter with such "results". The management will be all fired next morning after that.

    8. Re:The article says "accepts"... by grahamsz · · Score: 4, Insightful

      To be fair the indian computer market in the 1960s was considerably less valuable than the european market now.

    9. Re:The article says "accepts"... by Klaruz · · Score: 4, Insightful

      Hmmm.. I think if microsoft decided it was a good idea to castrate Europe's economy the EU would find a way to take the software needed to function through some sort of eminent domain. There's no way one company would be allowed to shut down a continent's IT systems. Not to mention pulling out of Europe would be a signal to the other economies of the world of what can happen if they don't play ball with the bully. You can bet the desire to switch to something else would increase big time. The bigger they are, the harder they fall, and I bet Microsoft would crumble faster than anybody on this website could have ever dreamed if they decide to pull out of Europe.

      So nope, ain't gonna happen. They'll play along, they may play dirty, but they have no choice but to stay in the game.

    10. Re:The article says "accepts"... by darnok · · Score: 4, Insightful

      > How long do you think the careers of a politician
      > who "forced" MS out would be with their
      > constituency being companies, government agencies
      > and private individuals being forced to switch to
      > an alternative?

      I realise we're talking about a highly unlikely set of events here.

      However, I don't see that it's necessarily such a huge issue. The EU isn't the US; MS isn't an EU company. Money spent on MS products leaves the EU and heads to the US.

      If MS was banned, you can be dead sure any number of EU-based alternative companies would fall over themselves to fill the space. Sure, 100% file compatibility may not be achieved, but the negative of that would be overwhelmingly addressed by the fact that some/most/all of the money spent on software would remain in the EU.

      Any politician who "forced" MS out might well be applauded by EU individuals, governments and companies on this basis.

    11. Re:The article says "accepts"... by cgenman · · Score: 4, Insightful

      It's their source, they wrote it, they paid for it, they developed it, they should not have to share it with anyone they don't want to.

      It's my gun. I bought it. I cleaned it. I blew someone's head off with it. I shouldn't be forced to give it to the police.

      Face it, Microsoft has broken the law repeatedly. They've used their position to crush competition on multiple occasions in multiple ways. They've outright stolen competitor's ideas and code, they've used their OS to cause errors in competing software, they've obscured their file format so much that each new version of Word must include a miniature version of the previous Word file reader in order to read it. They've used their position as a monopoly seller to try and corrupt Java, to drive Netscape into the ground. They've fed bad web pages intentionally to competing browsers. There is a ton more out there if you want to go digging, I've only scratched the surface.

      They made a tool. They abused a tool badly. Reparations were attempted with the company on specific issues. If Microsoft enters an area where they're actively in contempt of court, they can and should have that tool taken away. It would happen to any other company or individual trying to pull the same stunts. If I owned a resturant and a meat factory, and used my meat factory to sneak maggots into the food of my resturant competitors, and then I snubbed my nose at the court and refused their judgement, I'd lose my business. Plain and simple. Why would this be any different?

      Personally I think that opening Windows (and forcing it to stay open) without removing their copyright would be far more than enough to allow competitors to create compatible alternatives, giving them a fair footing in an open market.

      Oh, and add to that list they've not only falsified court documents, they've falsified evidence they then showed to an open court.

    12. Re:The article says "accepts"... by nickco3 · · Score: 4, Informative

      The only real stickler is the amount of actual collaboration that'd have to go into making sure all of the EU went along with this plan

      That part wouldn't be a problem. Trade and Competition policy are EC competencies. IOW, the Commission has already been given the authority to act and doesn't need permission from the member states.

      --
      -- Nick "Hallo this is Beel Gates, und I pronounce weendows as ... WEENdows"
    13. Re:The article says "accepts"... by dr.newton · · Score: 4, Insightful
      It's their source, they wrote it, they paid for it, they developed it, they should not have to share it with anyone they don't want to.

      They don't have to. They can decide not to sell their software in the EU.

      Governments create through laws economic environments that they think will make them (and their population) successful. Different governments strike the balance between good for the people and good for the rich at different points - too good for the people and their corporations can't compete. Too good for the corporations and standards of living drop as wealth accumulates in the hands of a few elite.

      The US is well known the world over for leaning heavily toward the rich, and relying on their corporations to go forth and extract wealth from other nations and bring it home. It has done well for them from an economic perspective so far. You can't, however, blame a government for either striking the balance more in favour of their people than the US (given that just about every other government in the world does also) or for attempting to protect themselves from the abnormally-empowered corporations of the US.

      Do the people of the EU need MS software? Will it really benefit them? Well, the government of the EU has decided that it will - as long as MS changes the terms it's attempting to force Europe's people to agree to before using it.

      The EU is doing what's best for its people. That is what it is supposed to do. If it did otherwise, why, it would risk being a farce.

      The fact that it is not doing what's best for you does not warrant such an attack.

      --
      Just another proletarian malcontent.
    14. Re:The article says "accepts"... by FidelCatsro · · Score: 4, Insightful

      This is not just the will of gouvernment burocrats , this is also the will of the people that they represent . MS has continued to abuse our laws and are now acting like a 3 year old and stomping around trying to not comply .

      1:) MS could pull out of europe , but if they did EU companys who decide to use MS products would have support from the now independent MSEU and would be paying them for the software

      2:) MS could not afford to pull out of europe as giving this market to the competitors would force anyone who wants to do bussiness with the EU to use an open standard thus hurting MS in not just the European market

      3:) MS has no option but to comply , They have had the right to apeal which has done no good for them . Companys do not have the rights of citizens in the EU ,they are treated as entitys . The EU can forcibly enforce the order if needed , companys can not be allowed to walk all over the law and bribe their way out . ;) i do like to see people sticking it to the gouvernment , but i love to abusive companys get it stuck to them by the gouvernment and the people

      --
      The only things certain in war are Propaganda and Death. You can never be sure which is which though
    15. Re:The article says "accepts"... by Tim+C · · Score: 5, Insightful

      Not to insult *your* intelligence, but modern Windows OSes *do* work. I work for a web development/hosting division within a large multinational, and almost *all* of our problems relate to networking and third party software issues; it's very rare indeed that we have a machine go down because of an OS problem, and that's true for the Linux, Solaris and Windows machines.

    16. Re:The article says "accepts"... by cgenman · · Score: 5, Insightful

      there is nothing - NOTHING - stopping superior alternatives from being adopted, if they are sufficiently better.

      That's the key if they are sufficiently better. Microsoft has ensured through anticompetitive tactics that that threshold is far, far higher than any benefit. Find that BeOS is significantly better a desktop than Windows? (It was, BTW) Well, not only will you not be able to read any of the Word documents they've worked so hard to obfuscate, but you won't be able to read any of the websites whose standards they've co-opted, or run any of the applications whose API's have been intentionally hidden. You won't be able to buy this from a vendor who has one of Microsoft's patently illegal forced exclusivity contracts. And of course you may get sued from a pretty explicitly Microsoft-funded umbrella corporation who claims rights over your OS. Because Microsoft forbade, again illegally, non-Microsoft software to be placed on the desktop after sale, the compatible competitors were forced off, so you can kiss a lot of the open standards goodbye.

      A real open market with competition would have a reasonable threshold above which people would switch to a better system. There is no indication this is how the markets around Windows or Microsoft Word or Exchange Server are functioning, and there is plenty of evidence as to why this is the case.

      there is nothing - NOTHING - stopping superior alternatives from being adopted, if they are sufficiently better.

      Dr Dos was superior to DOS in every way. It was significantly cheaper, faster, more stable, and 100% compatible with MS Dos. Because of this Microsoft re-wrote Windows 3.1 to randomly crash if it was run on top of DrDos. They then promoted "awareness" that DrDos was unstable and would crash Windows 3.1. That's not competing on features, that's using something you sell in one area to irrecoverably damage a competitor's product in an underhanded fashion. They were, BTW, convicted of this.

      there is nothing - NOTHING - stopping superior alternatives from being adopted, if they are sufficiently better.

      OS2Warp ran Windows applications better than Windows 3.1 did. It multithreaded and multitasked, and was pretty stable... an impressive feat for a Dos-based system. What did Microsoft do? They charged all of their system manufacturers based on how many systems they sold, not how many systems with Windows they sold. In other words, if you were a mixed house and wanted to sell OS2 Warp-based systems, each system you sold with OS2 Warp would cost you one OS2 Warp license you used and one Windows license you didn't and could never use. Thus, Microsoft used their position very directly to prevent competitors from getting on shelves, in a fashion completely illegal. They were, BTW, convicted of this.

      there is nothing - NOTHING - stopping superior alternatives from being adopted, if they are sufficiently better.

      You can't engage in illegal anticompetitive behaviors and still represent something as an even playing field. Period. I'm sorry if this sounds patronizing to you, but it's a pretty easy concept. If there was a way I could explain it that was complicated and difficult I would.

      Not all Monopolies are evil or behave in an anticompetitive fashion. While Intel's hands aren't squeaky clean, it did decide to largely compete based upon power and marketing when rivals appeared. Google has a near-monopoly on search activities, and it hasn't abused that position. I can only think of one example of outright sabotage of interoperability with a competitor's parts from Shimano. But with Microsoft the list of abuses is very, very long. They even did a lot of anticompetitive stuff that failed, like bundling Messenger into every copy of Windows, refusing to allow it to be uninstalled, and if it found that you did uninstall it, the bloody OS would reinstall it. Or their attempts to corrupt Java (which, BTW, they were convicted of). Or their attempts to patent-en

    17. Re:The article says "accepts"... by GWTPict · · Score: 4, Funny

      Keyboards? Just hide the mice.

  2. Can't do it.... by rdean400 · · Score: 4, Insightful

    Microsoft's got the same problem Sun has with the JRE. They might be able to use Sun as an excuse.

  3. Accepting demands by T(V)oney · · Score: 5, Interesting

    I wasn't aware Microsoft had a choice regarding which demands they would accept and would not accept.

    1. Re:Accepting demands by Zemran · · Score: 4, Insightful

      IANAL etc. etc. but

      [ They can take their ball and go home. ]

      Yes, but they still would not be complying with the court order and would be subject to severe penalties. They could sell 4 copies of the new product and then go but then the cat would be out of the bag already.

      [ MS would threaten it, ]

      How to really offend a European court. They are not in the US, they have to respect the court or they will suffer. They do not have political clout behind them anymore. In fact if they threaten to do something like that it could easily be seen as contempt.

      [ "The fines for noncompliance will be lower than the cost of damage to our business if we do comply. So we're going to eat the fines." ]

      This would constitute contempt and could result in a lot more than just a higher fine. The person that makes the decision not to comply can be taken to court and can be sent to prison. I think that no high paid executive wants to do that. The fine for non-compliance is a fine for dragging your feet, now they are no longer dragging their feet, they have decided to not comply they enter a whole new game. I do not know exactly what has been said but if they said 'no' they are incredibly stupid and liable to real penalties. They should say 'we are going to, but we are having real difficulty and need more time. Maybe if the court could possibly help us by changing things a little we would be able to sort this out sooner'. Any refusal is bad but to ask for help is good.

      --
      I love stacking my barbecues in the shed at the end of summer - you can't beat a bit of grill on grill action.
    2. Re:Accepting demands by mcc · · Score: 4, Insightful

      MS would threaten it, maybe stop selling Windows in Europe for a few weeks, then both sides would panic and split the difference.

      Another possibility is that MS could stop selling Windows in Europe and Europe could respond by nationalizing the copyright on all Microsoft, Inc properties and releasing them into the public domain. Meaning they wouldn't need Microsoft to sell windows. Hey, look at that trade surplus with the U.S. abruptly swell.

      Might be a bit difficult to pull off technically, but at some point the EU is going to do something if it wants to be considered a group of sovereign countries with their own laws, as opposed to just a funny kind of U.S. territory to which the constitutional protections on human rights don't apply. Cave on this and they'll be walked all over for the rest of their existence.

    3. Re:Accepting demands by Erwos · · Score: 5, Insightful

      "Another possibility is that MS could stop selling Windows in Europe and Europe could respond by nationalizing the copyright on all Microsoft, Inc properties and releasing them into the public domain."

      I love how this "solution" is bandied about. Is this really the precedent you want to set? IE, a European country suddenly is doing "too well" in the US, so they just nationalized? Europeans love to talk tough about how their software industry is just going to _pulverize_ the US's, but if everyone just keeps ignoring the other guy's copright, there won't be much industry left.

      _Real people_ own Microsoft. It's not like it's just some shadowy group of owners plotting evil against the world. If you're an American with _any_ money in the stock market (which includes such things as 401k's, mutual funds, IRAs, etc), you most likely own some Microsoft stock. The political repercussions of hitting Microsoft like this are FAR greater than most Europeans on here apparently imagine. Five rich guys don't amount to much. Fify million middle-class Joes are a rather substantial voting bloc, and the last thing you want for them to start voting is "SCREW THE EU!"

      The least of such sanctions would be from the WTO. Are you just going to ignore those, proving, in reality, you don't give a fig about keeping your word than Microsoft? That all this talk of "international rules" is really just doublespeak for organized mob rule?

      In fact, it could lead to a full out economic embargo - you can't just take what you want when it becomes convienient in the civilized world, because people will simply stop giving. If the EU does indeed have a trade surplus, you just shot your own foot making some sort of idiotic statement about the EU.

      -Erwos

      --
      Plausible conjecture should not be misrepresented as proof positive.
  4. MSOSS by Anonymous Coward · · Score: 5, Funny

    As an act of goodwill Microsoft has decided to open source minesweeper.

  5. so-long by suezz · · Score: 4, Insightful

    I would tell them to meet all 26 or hit the road.

    Eu doesn't need microsoft - microsoft needs them so I would tell them to fsck off if they don't comply with everything. after all you are their customers and being Microsoft they should be wanting to meet the customers demands - isn't this the reason they implement their crap - you know like put out the next IE7 - cause their customers asked them for it.

  6. Is this news anymore? by philovivero · · Score: 5, Insightful

    Government agency tells Microsoft "You've been bad. Here is your punishment." Microsoft tells government agency "Your punishment is bad, yes. But we do not accept your punishment. Instead, here is what we'd rather the punishment be." Government agency tells Microsoft "No, you will comply." Microsoft gives some money to the government agency. Government agency says "Aaah. We've reconsidered. Microsoft has actually chosen a very reasonable punishment for itself."

    1. Re:Is this news anymore? by GreyWolf3000 · · Score: 5, Insightful
      I seriously got the impression here on Slashdot that the EU was a reasonable, progressive, and moral government, and that it was the United States that was corrupt and doomed for destruction.

      I hope Europeans can stop complaining about our corrupt government, and Americans can stop whining about European governments in general, and we can all collectively recognize the lameness of basically all big world powers.

      --
      Slashdot: Where people pretend to be twice as smart as they really are by behaving like children.
    2. Re:Is this news anymore? by back_pages · · Score: 4, Interesting
      I seriously got the impression here on Slashdot that the EU was a reasonable, progressive, and moral government, and that it was the United States that was corrupt and doomed for destruction.

      Are you kidding me? What, pray tell, convinced you that the EU was the shining city on the hill that split from all known history? I always figured it was a bunch of people trying to broker power for their own benefit, that power being granted in turn for keeping some decorum of law and order. Maybe I was the cynic?

      I'm hardly an anachist, but show me the government that hasn't fallen and I'll show you a young government.

      I hope Europeans can stop complaining about our corrupt government, and Americans can stop whining about European governments in general, and we can all collectively recognize the lameness of basically all big world powers.

      And then what? We'll all enroll in Philosophy 101 and get stoned? Ya know, they don't call the Empire an empire for nothing. Enjoy whatever moral superiority you suppose you have. I'll enjoy my days as part of the Empire, and afterwards, we'll see who had a better time.

  7. No problem by ravenspear · · Score: 4, Funny

    I'm sure we can get some people to upload a torrent with the code in question...oh wait!

  8. Why force them to license the source? by LiENUS · · Score: 5, Interesting

    Licensing the source-code does not do much, a much better solution would be to require them to open the patents and specifications up for their drm and media formats. This gives their competitors a firm standing to enter the market with them. It would also allow opensource implementations of their media formats on linux with full drm support.

  9. Re:...wtf? by amliebsch · · Score: 5, Informative

    RTFA. The dispute has to do with licensing Microsoft's proprietary code, and whether or not they were locking open-source projects out of the licensing agreements. MS probably was, out of fear that if their code was incorporated into an open-source project, it would be open-sourced. The EU is not requiring MS to open-source their code.

    --
    If you don't know where you are going, you will wind up somewhere else.
  10. Code? by dmaxwell · · Score: 5, Interesting

    MS' code being out there would cause nothing but SCO style problems anyway. What is needed is to force (full) disclosure of (actual) protocols and formats. The last thing we need is accusations of improperly using MS' own implementation.

    Other people's code isn't necessarily good documentation and usually won't drop into another project's tree anyway. Why is there such emphasis on code? Should we be talking about specifications?

  11. What about by deutschemonte · · Score: 5, Interesting

    open formats/standards? They should force Microsoft to use the .odf format that KOffice and OpenOffice now use as default?

    If they would just take away Microsoft's virtual monopoly on the office document format it would make it easier for users to switch to open alternatives.

    I have always said that switching people to open software on Windows is the first step to switching people to open software period.

    To me the lack of forced open document formats and standards compliance is the only thing keeping open software from grabbing large market share from Microsoft.

    --
    The preceding message was based on actual events. Only the names, locations and events have been changed.
  12. Re:Microsoft *might* be b/w a rock & hard plac by 99BottlesOfBeerInMyF · · Score: 4, Informative

    forcing MS to license any of their software under the GPL seems grossly anti-capitalistic.

    No country in the world has a straight capitalism. The reason is that in an unmanaged capitalism, eventually all the money gravitates to one place. One monopoly is leveraged into another then another and eventually there is only one company. Monopolies break all the advantages offered by capitalism. They remove all incentive for innovation, supply an demand, and for making the customer happy.

    Allowing MS to leverage one monopoly into multiple monopolies breaks capitalism, which is why monopolies have to follow special rules. Get it?

  13. Re:Microsoft *might* be b/w a rock & hard plac by belmolis · · Score: 5, Interesting

    As far as I can see, in theory, full and accurate specifications of the APIs and protocols ought to be sufficient to allow interoperability and prevent Microsoft from having an unfair advantage over competitors. The problem is that nobody trusts Microsoft to publish full and honest specs and adhere to them. They are known for having undocumented interfaces and for departing from standards. Forcing them to publish the source would let others determine the actual APIs and protocols by inspection, and we'd know whether the source they published was real because its behavior could be compared with that of Microsoft's binaries. However, this doesn't require that Microsoft license its source under the GPL. People can perfectly well implement Microsoft's APIs and protocols with their own code. What it does require, other than publishing the software with terms that do not prohibit use of the information gleaned in GPL-ed software, is freedom from patents.

    Insofar as Microsoft has been convicted of monopolistic behavior, I don't think it has a choice if publishing source code under the GPL is the only way of adressing its improper behavior. It's not like something that is insufficiently in line with capitalism is "cruel and unusual punishment". If Microsoft really doesn't want to publish its source, it seems to me that the only thing to do is to force them to stand behind their specs by imposing significant penalties for differences in behavior between their software and the specs. This could even be a way of diverting the efforts of some crackers - finding discrepancies would be a thrill, and could even be remunerative if a percentage of the fine were awarded as a bounty.

  14. Re:Maybe I'm confused by 99BottlesOfBeerInMyF · · Score: 5, Insightful

    I don't see why Microsoft should have to turn over their source code without any kind of compensation. They did develop the product, and it seems to me that they should be able to profit from it. In my opinion the demands of the EU are in this case unreasonable.

    It's because they broke the law. It's a punishment that attempts to correct some of the damage they did. It's like this a guy mugs and old lady takes the cash in her purse and bets it all on a number in roulette. He wins big then the cops nab him. The judge just said, "the money he won goes to charity as part of his punishment."

  15. AP Wire Text by Anonymous Coward · · Score: 5, Informative

    This has more information than the BetaNews article - full AP Text.

    Microsoft says it will meet most EU demands

    By ALLISON LINN
    AP BUSINESS WRITER

    Microsoft Corp. says it will meet most demands by European Union regulators on making software blueprints available to competitors, including lowering licensing fees, but is seeking further talks on some issues.

    Microsoft said it delivered a letter to EU regulators on Monday detailing its intentions.

    The EU last month threatened new fines if Microsoft doesn't make it easier and cheaper for competitors to see the blueprints, known as source code.

    Brad Smith, Microsoft's top lawyer, said the Redmond, Wash.-based company told the European Union it isn't opposed to licensing the code to open-source developers as long as it's assured that its intellectual property will be safeguarded.

    Open-source programs led by the Linux operating system pose perhaps the most serious threat to Microsoft because their code is freely shared, while Microsoft closely guards its source code.

    Click Here
    Smith said Microsoft also wants clarification on whether concerns that view its source code can develop and distribute software outside of Europe.

    EU spokesman Jonathan Todd said Monday afternoon that he could not yet confirm that the Commission received Microsoft's latest letter, but said "We have received a letter in response" to our questions that Microsoft sent before Easter.

    He said the EU was "studying it carefully." He gave no further comment on the content of Microsoft's letter or on Monday's announcement

    The EU compelled Microsoft, in a March 2004 antitrust ruling in which it fined the company 497 million euros ($640 million dollars), to share the source code with competitors who make server software so their products can better communicate with Windows-powered computers.

    European regulators also ordered Microsoft to produce a Windows version minus its multimedia player to provide a more level playing field for competitors such as RealNetworks Inc.

    Microsoft has complied with that order but says it will only make the software available in Europe. Dow Jones Newswires reported last week that Dell Inc., a leading computer maker, would not offer the stripped-down Windows version as an option.

    Company officials would not provide The Associated Press with a copy of the letter they submitted to the EU on Monday.

    But they listed these changes that they said they had accepted in the server source code reviewing procedure:

    -Microsoft will customize licenses for developers who want to pick and choose from source code rather than buying a preset package.

    -The company will give competitors a price break on reviewing source code and more time to decide whether they want to license it - charging 500 euros ($645) a day for up to eight days instead of allowing a maximum of two days at 3,850 euros ($4,965) for the first day or 5,390 euros ($6,950) for two days.

    Microsoft spokesman Jim Desler said the company was working on a new set of prices for licenses to address the commission's concerns that previously proposed fees of $100 to $600 (77 euros to 465 euros) per server were too high.

    Desler would not elaborate on any details of the new royalty fee structure.

    Andy Gavil, a Howard University law professor who is co-writing a book on Microsoft's antitrust battles, says the company has good reason to try to elongate the process, especially given its plans to appeal the March 2004 order.

    Microsoft has been ordered to comply with the ruling even as it seeks an appeal.

    Gavil said Microsoft is concerned about losing the freedom to build new features into its operating systems and that sharing too much with competitors will weaken its business.

    "In a sense, they're trying to define a software philosophy and a business strategy," Gavil said.

    Smith emphatically denied that the company has any interest in slowing down the proces

  16. TFA is wrong! Not about source code! by Anon+E.+Muss · · Score: 5, Insightful

    As is often the case, the press is completely misreporting the issue. The EU never demanded that Microsoft release their own source code. What MSFT is required to do is license their network protocols and provide sufficient documentation to licensees so they can create their own implementations. A similar condition was part of the US antitrust case.

    The license that MSFT offered is (1) expensive, and (2) specifically prevents licensees from releasing the source code to their own implementations. The EU is mostly upset about the cost, and is therefore completely missing the point. The only effective remedy would be to require that MSFT publish the protocol specs and allow anybody (e.g. the SAMBA team) to implement them.

    Some would say that such a compulsory license amounts to the EU stealing MSFT's intellectual property. Bullshit! Do you believe that making them pay a fine is stealing their money? You can oppose the whole concept of antitrust regulation on Libertarian grounds, but that battle was fought and lost, the argument is over, and antitrust is settled law. The EU has the right to set antitrust rules and punish the violators.

    --
    The key sequence to access my Slashdot bookmark in Firefox is Alt-B-S. I don't believe this is a coincidence.
  17. O. J. Microsoft by rice_burners_suck · · Score: 5, Funny
    Meanwhile, in an alternate universe:
    In other words, O. J. Simpson today was convicted of murdering Nicole Simpson and Ronald Goldman. People familiar with the case stated that O. J. agreed to the terms of the verdict, except the one that says he must go to prison. The court is therefore waiving his prison sentence, and letting O. J. go free. Anyway, he said he was sorry, and he promised not to do anything like that again.
  18. not their source code, other source code by idlake · · Score: 4, Insightful

    "We are working with the Commission to try to find a way that companies can implement these technologies in code that would get distributed with open source products, but the source code wouldn't be published itself so that the confidentiality of our information is preserved," the spokesperson added.

    It sounds like Microsoft is not even talking about access to their source code, they are talking about whether open source projects are permitted to distribute their own code necessary for interoperating with Microsoft code in open source form.

    In different words, Microsoft is trying to keep "confidential" exactly what the commission is requiring them to make public.

    Furthermore, since the only group of people they are trying to impose restrictions on is open source (since binary-only vendors have full access under the agreement already), this is a direct attack by Microsoft on open source.

    Well, it's good to see that Microsoft is validating open source through their action. Let's hope that the EU doesn't let them get away with this.

  19. what am i missing? by erikkemperman · · Score: 4, Insightful

    EU: We find that you (MS) are breaking competition laws, and we order you to take these here 26 measures to allow other companies to enter into fair competition. You either take all these steps unconditionally, pay a fine per unit of time of non-compliance, or ultimately could be denied access to the EU market.

    MS: Of course we respect your decision and intend to comply fully. Well, almost fully. You see, some of the measures you have ordered would tend to interfere with our monopoly and our capacity to abuse it. We are in a position to negotiate the terms of your punishment, because.. Well, because all your base are belong to us! EU customers are so completely locked in our proprietary formats that they will revolt if you deny them our products!

    This is like Don Corleone telling the court: yes, your honour, it's true, I am a mafia don. And I accept your punishment, except if it is too severe I will naturally have to use my position as criminal mastermind and have you whacked.

    What am I missing?

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    Gosh, thanks. That must be why the other ships call me Meatfucker -- GCU Grey Area (Eccentric)
  20. Again, learn thy geography by Moraelin · · Score: 4, Insightful

    You propose, what? That MS bribes every single political party in every single country in Europe?

    You may find that "Europe" is not a single state, like the USA. It's a helluva lot of states in what's just slightly more than a diplomatic treaty. So who are you proposing to bribe? _All_ of them?

    You may also find that the political landscape in Europe is a _lot_ different than in the USA. Politicians here actually have to fight for their votes, rather than just sell themselves openly to the highest bidder. The result is a system which is _far_ less inclined to bend over to a corporation and shaft their voters. Au contraire, if in doubt they'll shaft the corporations for extra votes.

    Political majority means a fragile alliance of parties, neither of which has the majority, and all of which are trying to exploit their allies mistakes for their own benefit. Any one party who'd publicly bend over to a monopoly, would quickly find themselves switched from leader of the majority coalition to being _the_ opposition, because all their former allies did the populist thing and formed a coalition without them.

    More importantly, that wouldn't even buy a whole term for MS. If the political alliances form the other way around, who's the current leader can change right in the middle of a term.

    So what do you propose? That MS bribes every single political party, in every single country in Europe? I'm sure you can see how that's impractical.

    --
    A polar bear is a cartesian bear after a coordinate transform.