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Microsoft Set To Be Fined $2.4M a Day

Nexum writes "The BBC is reporting on a European Union threat to fine Microsoft up to $2.4m a day for their non-compliance with the European Commission's demand that Windows be opened up. Back in March 2004 Microsoft was ordered to open up its Windows operating system by way of making documentation available that would assist work on interoperability with other systems, specifically: 'non-Microsoft work group servers [should be able to] achieve full interoperability with Windows PCs and servers'. According to the article, Brussels has found MS to have not complied with the ruling, and, sounding somewhat exasperated, EU Competition Commissioner Neelie Kroes has given MS a 5 week deadline before the $2.4m/a day fines begin."

17 of 777 comments (clear)

  1. drop in the ocean by Phil246 · · Score: 4, Insightful

    Imo a fixed number for fines is all wrong. large companies can afford to pay it because actually playing by the rules is more expensive for them :/
    it should be % based on their global income, that way it would "hurt" both large and small companies equally in terms of how badly they are affected by it.

    still, should provide a bit of insentive for ms to hurry up and comply

  2. Re:Wait what!? by Trip+Ericson · · Score: 5, Insightful

    If Microsoft wants to operate in a particular market, they have to respect the laws and governments of that market, no matter what those laws may be.

  3. Re:Just a question by leonmergen · · Score: 5, Insightful

    I think the question should rather be, would MS think not opening up Windows is worth $2.4M/day?

    ... I think it is...

    --
    - Leon Mergen
    http://www.solatis.com
  4. Re:I'm sorry, I'm confused again. by Golias · · Score: 4, Insightful

    Is today pro-Microsoft or anti-Microsoft?
    I left my cheat-sheet at home...


    Today is "different people have different opinions" day. Same as any other day.

    Glad I could clear up that confusion of yours.

    --

    Information wants to be anthropomorphized.

  5. Re:Just dumb by bobintetley · · Score: 4, Insightful

    If they don't like the fact that they don't provide the documentation that they want, they should not buy their software in the first place.

    Irrelevant - this is about competition, not past purchasing decisions. Microsoft either do what the EU says, or they pay the fines, OR they stop trading the EU. Simple.

  6. Re:this is stupid by VitaminB52 · · Score: 5, Insightful
    I'm not pro-microsoft in everything...but this is just stupid.

    If i was microsoft i would say "ok...well see you later Europe."

    This isn't stupid. When you do business in some foreign country, then you have to respect that countries laws. Earlier this week ABN AMRO, a large Dutch bank, was fined (in the USA) 80 M$ for violating USA banking laws.
    If European businesses have to obey US law when doing business in the USA, then American businesses have to obey Europen law when doing business in Europe. And MS violated European laws repeatedly, so now they have to pay - just like any other compagny violating European laws.
    After all, MS doesn't have to do business in Europe. If they don't like Europe and it's laws, then they are free to leave.

  7. Re:Just a question by mordors9 · · Score: 4, Insightful

    Not just that $1 B. If they continued to ignore it very long incurring the fines, it may make them subject to shareholder suits. With the additional legal costs from those, you could run into serious money.

  8. Re:Just a question by falcon5768 · · Score: 5, Insightful
    it still is over a billion a year and it already starts out at over 100 million. Microsoft might make a lot of money, but a billion dollars will get noticed.

    they dont make THAT much money

    Lets not also forget if they dont do anything their shairholders will start to get fined as well.

    --

    "Slashdot, where telling the truth is overrated but lying is insightful."

  9. Re:MOD PARENT UP! by Z0mb1eman · · Score: 4, Insightful

    Why? Grandparent post should be marked as flamebait, if anything... I'll bite.

    >but keeping this information to themselves is something that has been done in the computer industry since the beginning.

    "Something's right because we've always done it this way" is never a valid argument.

    >I can't believe the EU would be so fascist as to compel Microsoft to release this information... and with a fine post-dated to Dec 15!!

    Better believe it...

    >Microsoft should suspend all sales of Windows and Office until this is resolved.

    Sure, and lose hundreds of millions of revenue, instead of a few million due to fines. It's not like they're stopping development - they would stop selling software for which most of the costs have already been incurred... that'd just be dumb.

    > Europe is much more heavily dependent on windows than the US... they would most definitely feel the pinch.

    What are you basing that on? Seems I see a lot more Linux headlines about Germany/Norway/Sweden/whereever than about the States...

    > Hell they might be able to talk Apple into joining the boycott...

    Yeah, sure. Maybe they'll even convince Apple to curl up and die.

    --
    ClutterMe.com - easiest site creation on the Net. Just click and type.
  10. WOW, I got a 130 IQ or higher by SmallFurryCreature · · Score: 5, Insightful
    Nice, kinda of odd I flunked out of school then. For your information, an IQ of 130 or higher puts you at the high end of the human race. Only a few percent score that high.

    Odd thing, for some reason a lot more people then a few percent seemed to be able to work with Linux long before Windows ever made an appearance. Of course they called it unix in those days but what's in a name?

    Earlier computer systems were even more primitive and being operated NOT by MIT graduates but by a girl promoted from the typing pool. For that matter how do you think the earliest word processors and such worked? Point and click? Nor were they being used by harvard graduates. Just girls with barely a diploma in home economics.

    Nah, linux is easy. It is just called hard by the amazingly lazy who do not want to be bothered having to relearn their leet button clicking skills.

    In the real world, people have used all kinds of systems and continue to do so. You would be suprised how many companies still run their essential software via ancient telnet terminals that make you wish you were running DOS (oh okay maybe not DOS).

    Here is a tip for succesfull management of your employees. Do not hire people with skills if office package X (and that includes oOO). Hire people with an average intelligence and tell them I pay your wages, I choose the software, here is a manual. Any person with a IQ above room temperature will get the hint.

    --

    MMO Quests are like orgasms:

    You may solo them, I prefer them in a group.

  11. If the shoe was on the other foot... by OwlWhacker · · Score: 4, Insightful

    If Internet Explorer was locked-out, or it was made extremely difficult to operate with Apache, there would be an outcry.

    If Apache was closed-source and used a proprietary protocol, Firefox was closed-source, and Apache and Firefox were developed by the same company - providing seamless integration between the two - and if Microsoft was given no help to allow its browser to operate with Apache, I'm sure that Bill Gates wouldn't just sit down and say "Ah well, fair's fair."

    Microsoft has had plenty of time to address similar issues that it has brought about, and the company knew of the consequences.

    What's to complain about?

    What other option does the EU have?

  12. Re:Just a question by Doctor+Faustus · · Score: 4, Insightful

    Better question -- why would MS even care what the EU fines them?
    Are you asking what gives the EU jurisdiction to collect on the fine?

  13. Re:exactly.. they should pull windows by OwlWhacker · · Score: 4, Insightful

    Europe is much more heavily dependent on windows than the US

    Many people are heavily dependent on Windows.

    It's not because Windows is so superior, it's due to the lock-in situation proprietary file formats, protocols and APIs have brought about.

    That's why the EU wants to put a stop to it.

  14. Europe by MicroBerto · · Score: 4, Insightful
    From an outsider's point of view (I'm an American), Europe is quite a different beast than most other outsiders realize.

    I work for a company that sells hardware and software, and the demand for more Linux support has gone up dramatically from overseas - and we're responding with success.

    I personally think that their Linux requests are a bit out of spite (they have MS contracts, the project managers involved are just sick of Microsoft) -- but whichever way you cut it, Microsoft should probably begin playing nice because that's where they're going to lose customers. And Korea.

    --
    Berto
  15. Re:EU should RTFM by Alioth · · Score: 5, Insightful

    This is an antitrust issue. Your whole EXACT SAME issues thing is a non-sequitor because:

    - Apple is not a convicted monopolist
    - RedHat is not a convicted monopolist
    - SuSE is not a convicted monopolist

    Microsoft *is* a convicted monopolist, that is why they are being fined. They are being fined because they are using their desktop monopoly to force out competitors in other markets, such as the server market. Additionally, they are using their desktop monopoly to cross subsidise their entries into other markets and sell things like the XBox below cost price, which will eventually force other competitors without the luxury of using a monopoly to subsidise their games market to exit the market.

    Linux distros, on the other hand, use open and documented protocols. It is no problem using a Sun Solaris NIS and NFS server with a Linux desktop client, or a Linux server with a Sun Solaris desktop client. RedHat and SuSE do not have desktop monopolies which they use to lock out competitors from the server market (and vice versa).

    Additionally, MSDN doesn't exactly document the proprietary and non-standard extensions to Kerberos that prevent anyone other than Microsoft from creating a server that can provide Active Directory to Windows clients.

    Microsoft would not be being fined if their business conduct did not include using their Windows monopoly to subsidise their entry into other markets. It is not fair game for MS to counter sue for bias and prejudice because there is no bias and prejudice - all the other people you cite do not use Microsoft business practises.

  16. What hurts... by fm6 · · Score: 4, Insightful
    No offense, but I suspect you don't even have $100 million. By contrast, Microsoft is valued at $282 billion, with annual revenue of $40 billion. So the backdated fines amount to 0.25% of their annual income. The equivalent for someone with an average middle-class income (say $50K) is $125. Not enough to cover one speeding ticket.

    Obligatory Simpsons ref: Mr. Burns is hauled into court for dumping nuclear waste in the city park. He's fined $3 million. He whips out his checkbook and says, "I'll take that statue of justice too!"

  17. Re:Just a question by eyrieowl · · Score: 5, Insightful

    you can (try and fail to) argue that the EU is a wannabe government, but you'll come crashing down when all the EU governments of Europe which support the EU support the EU in fining Microsoft. The EU has had issues *politically* integrating Europe, but the European countries have been moving forward with economic integration since the days of the European Common Market...well before the EU. They would most certainly not look kindly at MS were it to try to thumb its nose at them and refuse to pay its fines. MS *does* have European assets that could be seized, and it would *very much* like to continue doing business on the continent.