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Microsoft Threatened With Fines By EU Again

ukhackster writes "The EC is threatening Microsoft with yet more fines. This time, it's over the interoperability protocols that Microsoft has been ordered to open up to its rivals. The EC has examined 1,500 pages of information about the protocols, and concluded that they 'lack significant innovation'. This is pretty damning for both Microsoft and the patent system, as it has been awarded 36 patents covering this technology and has another 37 pending. Could this encourage someone like the EFF to start pushing to get these patents overturned? The EU has a FAQ about this issue, containing additional details on the subject.

5 of 184 comments (clear)

  1. Don't conflate interface with implementation by Todd+Knarr · · Score: 5, Informative

    That's Microsoft's problem, confusing the interface specification with the source code implementing the interface. The EU is commenting on the interface, not the implementation. When they say the interface specification contains no protectable innovation, that doesn't mean that Microsoft's particular implementation of that specification doesn't contain any innovation but simply that that innovation isn't going to be present in the mere API spec.

  2. Re:This is about pricing by Richard+Steiner · · Score: 4, Informative

    How does the ec know what is innovative or not?

    Well, according to the actual article released by the EC, the documentation Microsoft provided was reviewed by the Monitoring Trustee (Professor Neil Barrett, a tech expert chosen from a list of people provided by Microsoft) as well as TAEUS, the EC's technical advisors.

    See the FAQ for more information.

    --
    Mainframe/UNIX Bit Twiddler and long time Windows/Linux Hobbyist.
    The Theorem Theorem: If If, Then Then.
  3. Re:Or... by gstoddart · · Score: 5, Informative

    This is the EU desperately looking for some reason, any reason, to levy a hefty fine, not so much for the revenue, but to show how "tough" they are. This is a joke. Fining someone because you don't think their patents are innovative? The EU is really scraping the bottom of the barrel on this one.

    I would disagree.
    • The EU found Microsoft guilty of using their near-monopoly in an anti-competitive way. ie, they lost an antitrust suit.
    • In order to correct Microsoft's practices, the EU said MS had to provide information on protocols to allow people to interoperate with MS products.
    • MS produced 1500 pages and a pricing scheme to get access to the information. MS also agreed, in principal, that the cost to get it should correspond to the amount of 'innovativeness' in the stuff they're charging to see.
    • Upon review, the EU has concluded that the stuff MS is trying to charge so much for access doesn't really represent much in the way of innovation. Nada. They've taken what other people were doing, and fiddled with it so it wasn't interoperable.

    Now, the EU is saying that, according to the terms MS agreed to about how to value the stuff based on the amount of innovativeness in it, MS hasn't really done anything innovative. And, furthermore, how dare they try to charge so much damned money for something which, really, isn't all that different from the stuff that already existed. They're being caught in their embrace, extend, then break model of 'competition'.

    This is not the EU 'scraping the bottom of the barrel', this is about trying to enforce a previous judgement against MS -- one which they continually try to evade both the letter and spirit of: that of allowing for more interoperability between MS products and anyone else.

    They might take the step of invalidating the patents held by Microsoft. Which would say "hey, wait a minute, those magic proprietary protocols you have and claim people need to spend big bucks on are just open protocols you have intentionally made incompatible, and are trying to prevent people from implementing to preserve your monopoly-like status".

    This is all about MS continuing to defy court rulings which say they're not allowed to enforce a software monoculture -- especially when all they did is minorly change existing protocols (or, take an existing idea and do it slightly different) and then patent them in order to make sure nobody else can communicate with their stuff. You know, continuing to do the exact same offence they were found guilty of doing in the first place -- and the enforcement which they've been trying to re-interpret to their own benefit for quite some time.

    Microsoft is doing their usual obfuscate and delay tactics. The EU is starting to say "enough, do what we told you that you had to do".

    Cheers
    --
    Lost at C:>. Found at C.
  4. The actual qoute was... by an.echte.trilingue · · Score: 5, Informative
    Actually, according to the BBC, the actual quote was:

    In the 50 years of European antitrust policy, it's the first time we've been confronted with a company that has failed to comply with an antitrust decision.

    I find that statement rather significant. http://news.bbc.co.uk/2/hi/business/6408391.stm

    --
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  5. There IS no significant innovation by bastianmz · · Score: 4, Informative

    If you look at what is covered by Microsoft's Published Protocols made available by entering into Royalty Free licensing agreement, you will find yourself able to "to implement the Protocol(s) for which the applicable box(es) are checked on Exhibit A, and to use the corresponding Technical Documentation (as defined below) for that purpose." What are some of these Royalty Free protocols?

    • Daytime (RFC 867)
    • Chargen (RFC 864)
    • AppleTalk
    • DIFFSERV (RFC 2474)
    • Discard (RFC 863>
    • DNS (All appropriate RFCs)
    • DHCP
    • FTP
    • TCP/IP
    • ...

    The list just keeps going on. I know this is royalty free but for the life of me I cannot figure out why I would need to sign a licensing agreement with Microsoft to implement any of these. A patent agreement maybe with Apple for AppleTalk or relevant parties to implement Bluetooth for example (not saying that I agree with software or protocol patents but this is the IP environment that we currently work in). Signing an agreement with Microsoft to be allowed to read documentation and implement someone elses protocol, WTF? No significant innovation. I would be interested to know if anyone has entered into this Royalty Free agreement.

    Protocols not included in this list are subject to other licensing and royalty agreements. An implementation of a General Server without restricted protocols has a royalty rate of 5% for a software product and 2.5% for an embedded product with a minimum royalty of $40 per server or $0.40 per user. Per server licensing would put the minimum product price at $800.

    Included in this is permission to implement propriety Microsoft protocols (.NET Remoting TcpChannel Protocol, FrontPage Server Extensions Remote Protocol, Microsoft Media Server Protocols, Windows Group Policy Protocols, etc) which may include significant innovation as well as others that are existing protocols that have been extended. These include:

    • H.323 Protocol Extensions (Additional codec)
    • Layer 2 Tunneling Protocol with IPsec Extensions
    • Windows Media Services HTTP 1.0 Streaming Protocol
    • Windows Media Services HTTP 1.1 Streaming Protocol
    • World Wide Web Distributed Authoring and Versioning (WebDAV) Protocol Extensions
    • Internet Protocol Security Protocols Extensions
    • NT LAN Manager Authentication Protocol (Kerberos extension)
    • Network Time Protocol Extensions

    None of these appear to be licensed separately, they are only available as part of task based licensing bundle. The protocols in the list above also don't have any significant innovation, they are just minor extensions or combinations of, existing protocols. I agree with the EU, these should not be patentable (nor should any protocol) and that the royalty is excessive.