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Microsoft Finally Bows to EU Antitrust Measures

Rogue Pat writes "Microsoft ended three years of resistance on Monday and finally agreed to comply with a landmark 2004 antitrust decision by the European Commission. Competitors will be able to buy interface protocols for 10.000 Euro to make their software work better with Windows. Moreover, Microsoft won't appeal the 500 million Euro fine any further."

27 of 365 comments (clear)

  1. Microsoft should have payed the fine by Anonymous Coward · · Score: 5, Insightful

    If they had started paying it initially, with the decrease of the dollar and increase of the euro, it would have saved them a lot of money.

    1. Re:Microsoft should have payed the fine by hankwang · · Score: 5, Informative

      If they had started paying it initially, with the decrease of the dollar and increase of the euro, it would have saved them a lot of money.

      They already paid directly after the EC decision three years ago. The money was placed on a special bank account where neither the EU nor MS could touch it until the decision by the European Court.

  2. Took long enough... by Anonymous+Brave+Guy · · Score: 5, Insightful

    I think the saddest thing here is that it seems to take us three years to enforce a judgement against a major corporation, and even then the reporting in the media is all written as if Microsoft have kindly agreed to co-operate and not as though they've been forced to accept the judgement of a court that found they had done wrong and ordered them punished for it. If legal systems are this slow, it's no wonder people get concerned about the power of megacorps and that we see everyone from Big Software to Big Media taking some pretty major liberties with things like antitrust law.

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    1. Re:Took long enough... by mgblst · · Score: 4, Insightful

      If I have a secret, I don't care what the antitrust european court says, it's my secret, they shoudln't take that nor my money away for me.

      If you are in the US, then this is damn hilarious. The US, where toture has become accepted practice to obtain secrets.

      Microsoft can keep there secrets, but it is going to cost them. They are free to get up and leave Europe, I am sure we will do fine. The simple fact is, that if they did that, then a huge amount of effort would be put into getting Linux as a perfect replacement. This would weaken Micrsofts stronghold on the rest of the world as well.

    2. Re:Took long enough... by Anonymous Coward · · Score: 4, Interesting

      Uh. The USA is a LOT closer to folding than the EU. The EU, not the USA, is the largest economy in the world, and while people in europe might disagree with the european union as it stands, they tend to be pro-european-unity (just not governed by the current idiots. Sound familiar?)

      Actually, it might be best for the world if the USA defederated and the relatively sane states joined the EU or Canada, leaving the inbred christrian fundamentalist nutter states to die.

  3. I heard oink-oink outside of my window... by Corporate+Troll · · Score: 5, Funny

    ... but I work on the 5th floor....

  4. Paid for the dinner by mrjb · · Score: 4, Funny

    Kroes personally negotiated with Microsoft President Steve Ballmer in a number of conversations including over a meal at a restaurant near her home town of Rotterdam, in the Netherlands, she said.

    "I paid for the dinner," she said.

    If they had their dinner where I think they had their dinner, that should nearly cover the fine.

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    1. Re:Paid for the dinner by Corporate+Troll · · Score: 4, Insightful

      No, it's most probably because Microsoft paying for the meal could be interpreted as bribery.

    2. Re:Paid for the dinner by Hanners1979 · · Score: 5, Funny

      "Waiter, there's a chair in my soup..."

    3. Re:Paid for the dinner by mgblst · · Score: 5, Funny

      What I want to know, is did she pay for the dinner, or did the EU pay for the dinner? I find it hard to believe that she coughed up for it.

      And I would recommend a Japanese restaurant for dinner with Steve...you know, where they sit on the floor. Less dangerous that way.

  5. This is Great! by MrCrassic · · Score: 4, Interesting

    Maybe we can finally see some competitive open-source software platforms, like a better Evolution client (full Exchange capability, maybe?) or a better OpenOffice.org?

    1. Re:This is Great! by jabuzz · · Score: 4, Informative

      Er, WebDAV access to Exchange is deemphasized in Exchange 2007, and is replaced with Exchange Web Services and MAPI remains the primary method for access data stores on Exchange servers.

      Thing is that curtesy of the Openchange project which is building on top of the IDL stuff from Samba the Exchange MAPI protocols are being fairly rapidly reverse engineered. At which point the prescence or absence of any documentation from Microsoft will be irrelevant. In fact the OpenChange documentation is probably useful in that it won't cost 10,000 Euro and come with strings attached.

    2. Re:This is Great! by IGnatius+T+Foobar · · Score: 4, Informative

      All newer Microsoft clients are aiming to switch from this original RPC driven protocol to WebDAV through OWA.
      This doesn't help. Most open source people are looking to replace Exchange, not Outlook. The truly enlightened will replace both sides, but realistically we need to fully support Outlook as a "legacy client" until then. Outlook does not use the WebDAV based protocol. It uses the crufty old RPC protocol. This means that any server project that wants to speak to Outlook in its native protocol has to figure out how to get the RPC stuff running.

      Interoperability between Outlook and non-Exchange servers typically happens with client-side connectors that attach to MAPI (which is not a protocol; it's the API that Outlook uses to talk to stores and transports). Bynari has a pretty good one that uses their IMAP server, but it still saves calendar and address book data in Microsoft's proprietary TNEF format on the server. The good news is that an improved version is currently in late beta that will work with servers like Citadel storing calendars in iCalendar format and address books in vCard format.
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  6. any takers by shortscruffydave · · Score: 5, Interesting

    <NotFlameBait>

    The courts have made Microsoft make those protocols available. It will be interesting to see how many people actually pony up to buy those protocol specs - in part, that would be a measure of how valid the EU's judgement was.

    </NotFlameBait>

    1. Re:any takers by Threni · · Score: 4, Funny

      > Heh... I only just realized that 10.000 is ten thousand, not ten. I wondered what that extra zero was doing there!

      Which of the four zeros is the extra one which turned ten into ten thousand?

  7. not good enough by polar+red · · Score: 5, Insightful

    It's simple : we need the complete interface specifications for free, when you buy the operation system to use on your desktop.

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  8. 2 questions by jonwil · · Score: 5, Interesting

    1.What exactly does this cover? Which network protocols? Which data formats?
    and 2.Does the license exclude OSS/GPL or have Microsoft finally been forced into allowing GPL software to use its "secret sauce"?

    1. Re:2 questions by hankwang · · Score: 4, Informative

      1.What exactly does this cover? Which network protocols? Which data formats?

      See the EC ruling (PDF), especially article 999 on page 277:

      (999) Microsoft should be ordered to disclose complete and accurate specifications for the protocols used by Windows work group servers in order to provide file, print and group and user administration services to Windows work group networks. This includes both direct interconnection and interaction between a Windows work group server and a Windows client PC, as well as interconnection and interaction between a Windows work group server and a Windows client PC that is indirect and passes through another Windows work group server. The use of the term specifications makes clear that Microsoft should not be required to disclose its own implementation of these specifications, that is to say, its own source code. The term protocol relates to the rules of interconnection and interaction between instances of the Windows client PC operating system and the Windows work group server operating system.

      Also interesting:

      (1008) The requirement for the terms imposed by Microsoft to be reasonable and non- discriminatory applies in particular: [...] there is a need to ensure that potential beneficiaries will have the opportunity to review, themselves or through third parties designated by them, the specifications to be disclosed; Microsoft should be able to impose reasonable and non-discriminatory conditions to ensure that this access to the disclosed specifications is granted for evaluation purposes only;
      [...] to any remuneration that Microsoft might charge for supply; such a remuneration should not reflect the strategic value stemming from Microsoft s market power in the client PC operating system market or in the work group server operating system market;

      The decision does not seem to give a hard number for how much MS may charge for disclosure of the specs.

  9. So still refusing to comply by Anonymous Coward · · Score: 5, Insightful

    So yet again they're still refusing to comply, they've just dropped the price and announced they're now complying when they're patently not?

    This is no different to when they paid the last fine and announced they'd finally given in to the EU demands and offered the documentation at 50k with restrictive license.

    So they drop the price a little, and the restrictions a little, but so what? It's the same game. The EU needs to force compliance here. Or they'll play this game forever.

  10. Tax Euros put to work? by AlXtreme · · Score: 4, Interesting

    So, how about the EU uses a very small portion of those fines (say, a nominal one-off payment of E 10000) to obtain these documents once and publish them for all us open source developers via a new sourceforge.net project?

    I'm all for interoperability, but it's not like I'm going to pay $10000 for half-undocumented Microsoft protocols. At least a small portion of all those millions would be put to good use, instead of it all disappearing into the black hole that is the EU budget.

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    1. Re:Tax Euros put to work? by darthflo · · Score: 4, Informative

      As if. According to TFA, there are royalties on whatever product is built using those specs and MSFT's patents, so quite probably redistribution of the spec itself won't be covered by the nominal one-off payment of 10'000. If the EU had actually required those specs to be made available for free, they would've included that in their ruling. They didn't and they aren't going to break laws just to make some OSS developers happy.

  11. That's it? by rsantmann · · Score: 4, Informative

    Microsoft makes about 50 billion USD per year.[1] That is only 1% of Microsoft's one year revenue. Anyone who thinks this is going to deter Microsoft from anti-competitive practices is badly mistaken.

    [1] http://www.computerworld.com/action/article.do?command=viewArticleBasic&articleId=9001926

  12. Microsoft still wins by m2943 · · Score: 5, Insightful

    $10k is peanuts for commercial companies. It even is peanuts for open source companies. But the fact that there is any fee at all means that the information is not public, and this will likely exclude open source competitors, which is what Microsoft wants most of all.

    Fortunately, there may be workarounds: people can write small binary-only Microsoft compatibility plug-ins which plug into larger open source applications that eventually can replace Microsoft's applications.

    1. Re:Microsoft still wins by anarxia · · Score: 4, Insightful

      Or write a "reference" implementation. It's no substitute for documentation but it will help those that cannot/will not buy the specification.

  13. I still don't understand .... by Alain+Williams · · Score: 4, Insightful
    will we be able to use this in an OSS project ?

    What restrictions come with the specification that we pay 10,000 Euros for? If there are restrictions on what we can do with the knowledge gained, then we can't use it. M$ could argue that publishing code written using their spec is the same as publishing their spec and so everyone who reads the code has to pay 10k Euros.

    Until this is explained in full: we need to hold back on popping the champagne corks.

    How good will the spec be? If it is anything like the OOXML one then there will still be huge holes. M$ is smart enough to only publish in the spec the bits that have been reverse engineered: this allows it to claim that it has revealed a lot without adding anything to what is known by the rest of us.

  14. Only one taker by flyingfsck · · Score: 5, Interesting

    The Samba project will likely buy a copy. Everyone else will simply use Samba then as before. I don't think MS will recover their fine from selling that specification.

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  15. We told you so by zoobab · · Score: 5, Informative

    Microsoft will trump EU competition ruling with patents Brussels, 17 September 2007 -- The Foundation for a Free Information Infrastructure (FFII) says that Microsoft was expecting the 17 September verdict of the EU's anti-trust case, and will exploit software patents to keep its monopoly grip on the global IT market. FFII president Pieter Hintjens explains, "The decision seems positive but it is five years out of date. During that time, Microsoft has lobbied for software patents in Europe and bought patents on many trivial concepts. It has claimed patent violations against Linux, put patent timebombs into its formats and interfaces, and turned fear of patents into a core part of its business strategy. It will now open its formats, because that lets it extend its software patent franchise even further." Microsoft recently published its MCPP (Microsoft Communications Protocol Program) patent licence which requires competitors to pay royalties for each copy of software distributed. For example, a free software project making a print server would have to pay USD$8 to Microsoft for each copy downloaded. "The largest monopolist in history has faced down the largest economy in history," says Benjamin Henrion of the FFII's Brussels Office. "Microsoft will appeal, and the fines if ever paid are just a month or two of profits. Meanwhile Microsoft now has the time to crush its only real competition, the free and open source economy. We regret that the EU Commission and ECJ are blind to the real threat of software patents, while Microsoft cleverly exploits Europe's own patent system against EU businesses. This is a defeat for Europe's anti-trust, a defeat for the global economy, and I'm sure they're popping the champagne in Redmond." Background information In the proceedings of the EU antitrust trial, Microsoft states that its communication protocols are covered by at least 3 European patents or patent applications (namely patents 'EP 0661652', 'EP 0438571' and 'EP 0669020'). In addition, another 20 patent applications are pending in the United States, as are 2 in Europe (in its reply, Microsoft states that one of its two applications has since been granted, namely patent 'EP 1004193'). Moreover, Microsoft is planning to apply for 'some 130 European patents relating to Windows server operating systems'. Jeremy Allison, leader of SAMBA, the open source project file and print services for Linux/Unix servers and Windows-based clients, mentioned recently in LinuxWorld that the MCPP patent licences will make impossible for open source to use them: "We read the license, it's impossible to release open source implementations of the product. You have to keep it secret. This defeats the whole idea of open source."