Slashdot Mirror


EU Rejects Microsoft Royalty Proposal

pallmall1 writes "According to MSNBC, The Financial Times has reported that the EU is going to drastically reduce or even eliminate Microsoft's proposed royalties on interoperability information required to be released by the EU's antitrust ruling issued three years ago. According to a confidential EU document, "Microsoft will be forced to hand over to rivals what the group claims is sensitive and valuable technical information about its Windows operating system for next to no compensation...". Even Neil Barrett, the expert picked by both Microsoft and the EU to oversee Microsoft's compliance with the 2004 ruling, says a zero percent royalty would be 'better.'"

17 of 274 comments (clear)

  1. Re:I want to get paid!!! by Scarblac · · Score: 5, Informative

    Remember, this is a court order, it's part of a penalty they get for breaking the law. The court decides the terms. Originally they were allowed to pick a reasonable fee themselves (IIRC) but if the court decides they abused that and set an unreasonable fee, well I would certainly expect them to order the info to be free.

    --
    I believe posters are recognized by their sig. So I made one.
  2. Royalty by ntufar · · Score: 5, Interesting

    I am not a native English speaker and I read the subject as if Microsoft proposed some kind of royal title to EU bureaucrats or something and they refused.

    As for royalty payments, yes, Microsoft is disclosing interoperability protocols and other who want to used should pay, but... Microsoft's protocols are not stat-of-art technology, it is an implementation of ideas that are commonly used in IT industry. NFS is in essence the same thing as CIFS but with different protocol convention.

    Thus, Microsoft's hiding interface details is not protection of intellectual property but prevention for other vendors to come along and intercommunicate.

    Think of post office. Street addresses are open. Pen, paper and envelops are freely available from different vendors. What if US Post Office would demand a royalty from private currier services and taxi drivers for using of Street naming and house numbering system?

  3. Uhm, aren't they the criminals here? by 91degrees · · Score: 5, Funny

    I want Microsoft's lawyers. I could get charged with being a bank robber, then make a deal where I agree to only rob a small bit from banks, and then I'd demand compensation for loss of earnings.

    1. Re:Uhm, aren't they the criminals here? by gnasher719 · · Score: 5, Insightful

      '' The EU is basically demanding MS to hand over their IP for free. ''

      Actually, they are not. What MS is supposed to hand over for free is in no way intellectual property.

      Lets say for some reason a product needs to transmit two numbers A and B. They could be transmitted in the order A, B or B, A. They could be transmitted as decimal numbers in text format, or binary. If binary, they could be transmitted as 8, 16, 24 or 32 bits in various byte orderings. All these variations are completely arbitrary and cannot be considered to have any intellectual value. However, for compatibility a competitor needs to know which of these arbitrary variations a product uses.

      This information could at most be considered a trade secret. In this case, however, keeping that secret a secret would be illegal, therefore it is not a trade secret.

      There is no reason at all why Microsoft should get any compensation for this information.

  4. Re:Who would want to? by Anonymous Coward · · Score: 5, Interesting

    Seriously, who in their right mind would want to integrate aspects of Windows? Sure it's a platform that millions are using, but with their continued mistakes, they won't have a foothold for much longer.

    You have answered your own question. The people that integrate aspects of Windows are the people who need to inter operate with the Windows users. Those Windows users occupy 98% of the universe. Personally; I would like to use Thunderbird ( on Linux, Solaris, *BSD or Windows) at work but it doesn't play nice with all the (proprietary) toys that come with Exchange. What about being part of a Windows Domain natively? Let's extend this just a little farther: How about being able to choose your word processor or spreadsheet tool of choice and not having to be concerned about file formats.

    Now, with open protocols and open standards; everyone can compete on a level playing field. Let the companies create true value to the products (IE: like management features, better interface, etc) instead of playing games by changing the protocol / formats and making forced upgrades for the users.

  5. Re:EU = still playing where it doesn't belong by FlyingGuy · · Score: 5, Informative

    Can you really be that naive?

    I will give you one simple example ( even though I think you are a troll ) and let you take it from there.

    MAPI ( the Mail API ) - This was a specified API to allow different programs to interact with e-mail. It was supposed to allow any program to send whatever their work prodcut was, along as an attachement to an e-mail, and to generaly interact with any e-mail system installed on the computer.

    When MAPI was 1st published it had a well defined set of interfaces and API calls that were documented and reliable. This was all well and good until well the competition started writing better e-mail systems. These were all fully MAPI complient and worked very well.

    As we all know by now, MicroSoft cannot handle competition. So what did Microsoft do? What they always do, they changed the API and then didn't tell anyone. So now all kinds of MAPI complient applications started breaking, well except theirs of course, since they had all the documentation and the rest of the word didn't.

    This is the basic Microsoft pattern. If someone comes up with something better then they have and it relies on an API controlled by them, they simply change it and then dont tell anyone they did so, thus stopping the competitions product from looking so good or even working at all

    That, by defintion, is anti-competative behaviour.

    --
    Hey KID! Yeah you, get the fuck off my lawn!
  6. It's true! by PoopDaddy · · Score: 5, Funny

    I saw it on Slashdot from this guy samzenpus who said this guy pallmall1 saw on MSNBC that the Financial Times reported it. So it's gotta be true.

  7. Re:EU = still playing where it doesn't belong by Opportunist · · Score: 5, Insightful

    If said company is holding a monopoly, then yes.

    Monopolies are, by their very definition, the bane of free market. Should you be able to hold a monopoly over a certain area of the market, the free market starts to crumble because it cannot employ its power.

    In a truely free market someone could come along with a new and better idea and that new/better idea would sell better because the product is better. That's the theory behind it all. Competition amongst producers, with the consumer being the decider which product is best, giving the producers of "good" products their money, so they thrive while the ones with the "bad" products perish.

    This does not work in the presence of a monopoly. MS can produce the worst software and they would still be the top sellers. Simply because companies have invested a large amount of money into their line of products.

    If MS can hold its specs under cover, companies would be forced to keep buying from MS, even if their software is inferior, because competing software would not be compatible. Which, in turn, contradicts what free market dictates as the doctrine of the best product being the best selling one.

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  8. Re:I want to get paid!!! by Anonymous Coward · · Score: 5, Insightful

    Yes yes, we've heard it all before. Why not just set up a cronjob (Sorry, Scheduled Task) to post this inacurate and uneducated drivel? It could save a lot of time and effort: you wouldn't even need to spend time ignoring the replies that keep pointing out how wrong you are!

    don't start or remain a tech company in Europe.

    Phillips, Nokia, Sony Ericson, Siemans and the hundreds of other small and medium technology companies all agree with you.

    P.S: Remind me, which country convicted Microsoft of abusing it's monopoly position first?

  9. Re:I want to get paid!!! by temcat · · Score: 5, Insightful

    What intellectual property? It's not copyrights - MS is not required to give code. It's not patents and not trademarks. What EU wants is the info on how the code works, so that other software vendors could make software that properly interoperates with the products of a monopolist that Microsoft is. This is only fair.

  10. Re:I want to get paid!!! by Vihai · · Score: 5, Insightful

    The iPod should publish it's interfaces so that people can make competing iPod software.
    Yes

    Sony should be forced to reveal all of the hardware interfaces in the PS/3 so that people can make their own add-on devices.
    Yes

    Google should be forced to publish their search engine core to prevent vendor lock-in to Google search.
    No Now, try to find out why...
  11. Re:EU = still playing where it doesn't belong by SanityInAnarchy · · Score: 5, Insightful

    Said companies didn't enter in a contract with MS to guaranty 100% compatibility for their MAPI enabled apps.

    Which they should not have to, as MAPI is (supposedly) an open standard.

    MS' doing what they can to keep backwards compability. That's the only guaranty MS can give.

    It's spelled "guarantee". And that would be great, if they were trying to do that -- instead of deliberately trying to break the competition in subtle ways.

    They have done this before. Take msn.com, which had a ridiculous typo in its stylesheet -- in a version of the stylesheet only shown to Opera users.

    Coincidence? Maybe, but consider that this never, EVER happens the other way around -- that is, msn.com never has typos that break stuff in Internet Explorer, and their own API changes never break a Microsoft product.

    Even if MS have access to a few undocumented MAPI calls, it's still their right to have those undocumented.

    No, it is not. It is blatantly anticompetitive behavior. Using their complete dominance in the Operating System business to support their Email Client business -- or even their Office Suite business -- is not just unfair, it's actually illegal.

    MS doesn't owe me, you nor anyone else nothing.

    You don't have a clue about antitrust laws, then.

    Maybe it's different in Britain, but here, this kind of shit is considered illegal and wrong -- except, I suppose, for those who have contributed a large amount of money to political campaigns. (Notice how the antitrust suit against MS was dropped as soon as Bush got elected -- and notice how much MS (and MS executives) contributed to the Bush 2000 campaign.)

    --
    Don't thank God, thank a doctor!
  12. IP == "free market?!" WTF?!??! by mrchaotica · · Score: 5, Insightful

    Now, let me get this straight - simply taking a companies' intellectual property with next-to-no compensation is being argued on "free market" grounds? Mind-boggling.

    Mind-boggling? No, what's really mind-boggling is that we're in such a Bizarro would that people somehow think it isn't "free market!"

    Here's a newsflash: so-called "intellectual property" is a government-granted monopoly. It is an artificial construct of law. It is the opposite of a "free market!"

    In a truly free market, so-called "intellectual property" would not exist. Everyone would be free to make whatever widgets they wanted, without having to worry about whether some whiny ass claimed to think of the idea first. That's a "free market!"

    --

    "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

  13. Re:EU = still playing where it doesn't belong by dprovine · · Score: 5, Insightful

    The only reason Microsoft has the position they do is that the governments of various countries have made it illegal for you to access information in certain ways. If it wasn't for government interference in the free actions of individuals, there would be no copyright laws at all. The government interferes with people's activities in this case because they contend an overall social good results.

    Now, the governments have concluded that interfering with Microsoft will produce an overall social good. For Microsoft defenders to speak as if government interference is always a bad thing is ridiculous: they are complaining about the very thing that gives Microsoft any position at all.

  14. You missunderstand. by Anonymous Coward · · Score: 5, Informative

    Microsoft is not being asked to give over anything remotely considered intellectual property by the EU.

    They are being asked to document their API's so that they may not use their illegal monopoly to prevent interoperability from competitors and therefore maintain their monopoly.

    They can do this without giving anything of value in the legal sense and certainly can achieve this without ever showing a single line of source code, although worked examples certainly would help with understanding.

    They are an illegal company performing illegal acts and as such punitive controls must be enforced to ensure a fair playing field, period.

  15. Re:I want to get paid!!! by Bert64 · · Score: 5, Insightful

    And wouldnt even be necessary if they had complied with standards in the first place.
    The EU should force microsoft to comply with published standards, or if necessary extend and publish the extensions to those standards (and propose the standard be updated accordingly).

    --
    http://spamdecoy.net - free throwaway anonymous email - avoid spam!
  16. Re:I want to get paid!!! by Bearhouse · · Score: 5, Interesting

    Very true. Of course M$ learned from the (old) IBM that one of the best ways to protect your market was to ignore standards, or undermine them, whilst publicly supporting them. Not too sure about the 'extend and publish' part - that's one way that M$ undermines existing standards - by 'extending' them, (making everything else incompatible). http://www.consortiuminfo.org/ has lots of info on this