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Microsoft Cancels EU Antitrust Hearing

bahstid writes "The NY Times reports that Microsoft and the European Commission have canceled the only hearing planned in an antitrust investigation into the company's tying of Internet Explorer into Windows because of a dispute over the attendance of European regulators serving as advisers. As a result, the commission will reach its decision and levy a fine based on written statements from Microsoft and its adversaries. Microsoft decided against the opportunity to give oral evidence in the case after it was unable to persuade the commission to move the meeting, scheduled for June 3rd through 5th, so that it did not conflict with a global antitrust conference in Zurich that draws European antitrust regulators."

24 of 203 comments (clear)

  1. Microsoft Requested It by Daengbo · · Score: 4, Insightful

    MS requested the opportunity to present oral arguments, the EU scheduled the meeting, MS felt that, although all the required attendees could make it, the date conflicted with another large event, leaving MS without a chance to orally lobby some of those on the sidelines.

    MS said that they're not attending, and the EU cancelled it. Basically that means that it's over and that MS is going to lose.

    Get your checkbook out, Ballmer!

    1. Re:Microsoft Requested It by rtfa-troll · · Score: 3, Insightful

      leaving MS without a chance to orally lobby

      Mod parent insightful. If you steal a car and try to "lobby" the police, trust me you won't get a "fair hearing". That Microsoft goes around breaking the law and then expects to be able to get politicians to help them avoid their penalties is shocking. They are clearly unrepentant in any way and I wish the European courts would get it together to increase their penalties massively to send a clear message that such corruption should not be tolerated. Remember Microsofts crimes are not victimless. There were pensioners who invested in Netscape. There were people who would have been able to pay their medical bills with their Novell money. All the extra money in the Microsoft tax could have been paying for better Linux development. Your taxes could be paying for better bridges instead of a new office install.

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    2. Re:Microsoft Requested It by jareth-0205 · · Score: 2, Insightful

      To be fair to Netscape, once MS had subsidised their browser to £zero (given their desktop monopoly) where was Netscape going to get their income from? I'd imagine nothing kills a business's direction quicker than the knowledge there's no way to get any money in to run the company...

    3. Re:Microsoft Requested It by Anonymous Coward · · Score: 1, Insightful

      Honestly, I feel this particular argument against Microsoft is flawed. You say steal a car, but it's more like they put a radio in the car they were selling of their own. Can radio companies sue car manufacturers for giving the consumer what they expect? Internet browsers are replaceable. This kind of thing would never happen if the product was a physical one. If software companies want people to use their product, then make a better product. Netscape failed because it wasn't good enough. There's a difference between regulation and protectionism. Usually.

    4. Re:Microsoft Requested It by timmarhy · · Score: 1, Insightful

      Ms bundling IE was a better deal, that's what capitalism is all about, offering a better deal and an improved product. if netscape had management with a brain they would have seen the writing on the wall for selling browser software and moved more agressively into the server market than they did.

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    5. Re:Microsoft Requested It by hkmwbz · · Score: 2, Insightful

      Ms bundling IE was a better deal, that's what capitalism is all about, offering a better deal and an improved product.

      Except Microsoft also broke the law by abusing their dominant position to lock people into IE (actively preventing interoperability).

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    6. Re:Microsoft Requested It by hkmwbz · · Score: 4, Insightful

      If you are arrested, you'd get a fair trial. Same goes for Microsoft. You say they broke the law, but if Microsoft thinks otherwise, they have the right to prove they are not guilty. This (now canceled) hearing is one of the ways Microsoft can use to show they are not guilty.

      No, this hearing was nothing like a trial. Even Microsoft admitted that the hearing had no legal implications. It was purely an opportunity for Microsoft to do some lobbying before the real case actually starts.

      Also, it was Microsoft which canceled the hearing. They claim it's because of the competition law meeting at the same time, meaning that higher level officials would attend the meeting rather than the hearing. But Microsoft is lying again, because they know very well that these hearing are usually only attended by staff level personell, in addition to the competition commissioner. And the competition commissioner was scheduled to be there until Microsoft canceled.

      Read more about Microsoft's dishonesty in this comment.

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    7. Re:Microsoft Requested It by jareth-0205 · · Score: 1, Insightful

      *sigh*

      I can't believe after all these years, after all the posts pointing out the issue that this still needs to be explained.

      So, again:

      Pure, unfiltered capitalism is flawed. It ends up with one company dominating and dictating everything. We have rules to stop this from happening such as "a company may not leverage a monopoly in one area to gain marked share in another". This is what they did and why it's considered a bad idea.

    8. Re:Microsoft Requested It by Anpheus · · Score: 3, Insightful

      And we'll never know how things might have gone otherwise, but continued for-profit browser wars likely would not have been for the better.

      There are several types of cost. In this case, reducing the cost spurred competitors to produce even better software in order to overcome an even greater obstacle. See, when ever browser costs money, it's easy to evaluate every browser on those criteria. Microsoft reduced the time and effort cost of getting IE to zero, and relative to that, the cost of every other browser shot up. Netscape -had- to go free, but on top of that, it had to prove to customers it was so much better it deserved the cost of change. People hate change, and very few people like messing around in settings and control panels and installing software they don't need. Hence why it's so important for programmers to pick good defaults. Most people will never change them for fear of breaking something.

      So Microsoft reduced the gratis cost of every other browser to zero, but relatively speaking, every other browser had a different type of cost that was even greater. Sure, no one likes handing out money, but people hate change even more than they like buying things. As a result, the other browser software had to get so much better than the truly "free" browser (it's already installed!) that users could justify that cost of change. And that's what Opera did, it's what the Mozilla team did, the Google team have done it. Now Microsoft is -forced- to compete with these features to retain customers, and a natural economic balance is struck.

      I won't lie to you, Microsoft probably killed the business of making money from browsers irrevocably. But I think that was for the better. I think making other browsers have to be truly so much superior to IE in order to convince them to switch was necessary for the fundamental shift toward more advanced and more standardized web capabilities.

    9. Re:Microsoft Requested It by ClosedSource · · Score: 1, Insightful

      The primary reason that the DOJ got involved in the first place was because MS competitors (who had embraced the corruption you spoke of) had lobbied for it. That's why the outcome didn't really help consumers - it was never about them.

    10. Re:Microsoft Requested It by 99BottlesOfBeerInMyF · · Score: 3, Insightful

      I won't lie to you, Microsoft probably killed the business of making money from browsers irrevocably. But I think that was for the better.

      I think you're dead wrong. MS has spent the last decade with dominance in the browser market. During that time they've not implemented anything other than proprietary technologies and partially implemented versions of eight year old standards. Web developers spend all their time trying to find ever more clever ways to use these ancient, broken standards. We've had little to no progress in actual Web technologies during that time. Only in the last year or two with MS losing some of their market share has their been any real advance, but MS is still too big and the limiting factor.

      Browser makers don't devote resources to implementing newer technologies because if IE doesn't support them, Web developers can't se them. For a technology industry, especially such a huge and profitable one to stagnate so badly, something is seriously broken. That "something" is MS's monopoly abuse to prevent interoperability and slow innovation that might threaten their other products,

      Seriously, do you think I would have significant market share today if it was not bundled with Windows? Do you think if IE did not have significant market share Web developers would hold back on using cool new technologies just for IE? Do you think browser makers would not be competing to implement those technologies better than others? That's the problem we have, lack of competition leading to lack of innovation. We might as well implement extreme socialism if we allow monopolists to undermine the primary advantages of capitalism.

  2. Re:Imagine an OS without a browser by cyber-vandal · · Score: 3, Insightful

    No the OEMs installing Windows would put their own choice of browser on the PC without having Microsoft force their own choice on the user without any giving any means to remove it.

  3. I hear you there by Anonymous Coward · · Score: 2, Insightful

    It is almost as insane as claiming that foreign companies would have to follow US laws when operating in the USA.

    How could we ask for that when even our own companies don't follow them!

  4. Re:Two ways to read this by rtfa-troll · · Score: 4, Insightful

    They offered to find and pay for a location themselves as the meeting room wasn't available outside of the window,

    If you are ever arrested and charged with a crime, I suggest that you request the chief of police attend the hearing because you don't think the investigating officer is important enough for your case. If they tell you he's not available then, you can always suggest that they can have the hearing back at your gang headquarters any time they like. I'm sure they will be most amenable to your request.

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  5. Re:What is the big deal? by hkmwbz · · Score: 4, Insightful

    It's wrong because they used bundling with their dominant OS to kill the competition in the browser market. It's illegal to use bundling combined with a dominant position in the market to screw the competition. It's called antitrust law, and I suggest you look that up before getting all opinionated over this. The same antitrust laws exist in the US.

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  6. Re:Stop crying, start coding. by hkmwbz · · Score: 4, Insightful

    If MS didn't have such a lion's share of the market, this would not be any more of an issue that it is with Apple.

    Probably not. That's the nature of competition law. Dominant players don't play by the same rules as everyone else. Microsoft ignored that, abused their position to undermine competition, and thus broke the law.

    The reason it's an issue is because we've forgotten sportsmanship. If you're losing in a game, you don't (or shouldn't) cry UNFAIR!

    If the other guy is cheating at a game and winning (breaking the law), why shouldn't there be any consequences for the cheater?

    If people think that a crappy browser being too is too integrated into a mediocre OS is unfair, then WRITE AN OS THAT PEOPLE WANT

    So to compete in the browser market, all browser vendors should be required to create their own OS?

    It's just too easy to blame failure (in this case, failure to gain a majority market share) on unfair play.

    Breaking the law is not "unfair play"?

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  7. Re:great quote from an older article by hkmwbz · · Score: 2, Insightful

    Forcing them to unbundle the browser is retarded, but punitive measures were the best thing the EU could imagine, so that's what they came up with.

    What, the verdict has already been announced? The EU has already decded that IE must be unbundled? News to me.

    Microsoft is clearly going to argue that the unfair advantage didn't exist since IE's market share is dropping anyway.

    Does that change Microsoft's past illegal actions? If you rob a bank and the bank makes enough money to make up for the loss, does that mean that you won't get punished?

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  8. Re:Two ways to read this by hkmwbz · · Score: 5, Insightful

    Yeah or the EC has decided they want more money. Hmm, our coffers are looking a little low, I know lets sue MS again, hmm which product to chose ..

    Actually, it wasn't the EU who initiated this case. Opera, backed by Mozilla, Google, and others, got the EU to investigate what they argued were actions that violated antitrust law.

    While I don't always agree with MS's practices, having a competition hearing at a time when the regional experts are unavailable is stupid.

    Actually, none of the people Microsoft claimed to be worried about not attending never attend these hearings anyway. Hearings are usually attended by staff level personell in the first place. The hearing would also be attended by the European Commissioner for Competition.

    I think a reasonable request has been turned down for political reasons.

    A reasonable request for something no one else gets granted. Right. You are buying into Microsoft's bullshit.

    Instead of blindly believing Microsoft's lies, check out the comments by Thomas Vinje and commission spokesman Jonathan Todd. It turns out that Microsoft is just lying and stalling, probably hoping for the current competition commissioner to retire later this year and have a more Microsoft-friendly person appointed.

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  9. Re:What is the big deal? by hkmwbz · · Score: 4, Insightful

    The browser 'market?' How can you have a market for something that is free?

    There are several browser vendors out there. They are making money. And they were making money before Microsoft started breaking the law and undermining competition. The browser market existed before Microsoft. Microsoft was betting on their Microsoft Network thing for a long time, remember?

    Just cause something is against the law doesn't mean I can't have an opinion either.

    Well, you clearly weren't even informed about the law. Shouldn't you at least educate yourself before commenting?

    Basically, if I get into business x, and I do so well (cry all you want, microsoft did THE BEST cause of their business strategy whether you like it or not)

    So when someone uses illegal performance-enhancing drugs to win at sports, the competitors can cry all they want because the winner did best because of his strategy?

    in that business that I'm the top dog by far, I'm not allowed to offer new services and such exclusively with my product? How the hell does that work? I get fucked in the ass for being successful?

    No, you get "fucked in the ass" for breaking the law.

    I thought Obama was only elected a couple of months ago, that's not enough time to get such laws on the books.

    In case you didn't notice, this is a case in the EU. In case you didn't notice, the US has had antitrust laws for ages. Antitrust laws exists all over the world. Perhaps you should educate yourself before being all opinionated over something you clearly don't understand?

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  10. Re:Imagine an OS without a browser by AnalPerfume · · Score: 2, Insightful

    You're right, people don't choose a PC by which browser is installed, nor do they choose by which OS is installed; despite Microsoft's insistent claims that Windows is the "preferred choice" of consumers.

  11. Re:What is the big deal? by hkmwbz · · Score: 5, Insightful

    Your evidence and the EU is too vague and bullshitish to even constitute Anti-trust violation.

    My evidence? I'm merely stating some facts. If you want the actual evidence, perhaps you should look it up for yourself. Here is a good place to start if you wish to educate yourself.

    You can bundle any products you want and MS did. The nature of the bundle was not violating anti-trust laws in any way shape or form. A company is not legally obligated to support their competitors and this judgment does just that.

    Actually, you can't bundle any products you want if you are in a dominant position like Microsoft is. The nature of the bundle was likely violating antitrust law (the ruling has not yet been made, mind you), because Microsoft has definitely undermined competition in the browser market by abusing its dominance in the OS market.

    It forces MS to ensure their competitors safety, because they made bad choices.

    So what you are saying is that there should be no consequences if you break the law?

    All this nonsense over a so called bundle, when the average consumer can barely operate a computer is moot.

    So-called bundle? Are you denying that IE is bundled with Windows? And how is the average consumer's computer skills relevant?

    The EC didn't take into account all factors and made a premature judgment.

    What factors? The EC has not made a ruling yet, but did state its preliminary view that it does look like Microsoft broke the law. After issuing the statement where they found there was ground for further followup on the issue, they started gathering more data. This includes responses from Microsoft.

    If the average person was capable of using linux or knew wtf a library was, then use, abuse of dominance could be shown.

    This case is about browsers, not operating systems.

    If you wanted Netscape, then ask them to manage better instead of mismanaging. A company can not and should not be responsible for its competitors survival, it goes against the very nature of business.

    Netscape is not the only victim of Microsoft's illegal actions.

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  12. Re:WTF? by hkmwbz · · Score: 2, Insightful

    So if its illegal why can Apple and most Linux builds do it?

    Bundling a browser with an OS isn't illegal. It's illegall to use bundling with a dominant product (Windows) to destroy the competition in a different market (browsers). Apple and Linux definitely do not have the dominance in the market to do that, so they are free to bundle. Besides, Safari is actually a standards compliant browser.

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  13. Re:Imagine an OS without a browser by cyber-vandal · · Score: 2, Insightful

    That's unfortunate for the 50 million people who live in South Korea, however that still makes a Linux Live CD the ideal option for the majority of internet users whose banks aren't forced to use a government-mandated piece of software and/or have the sense not to tie an important part of their business to just the one piece of outdated software.

  14. Re:great quote from an older article by NoOneInParticular · · Score: 2, Insightful
    Paranoid much? The XP-N fiasco was of course stupid, they just should have fined Microsoft more! An empathic 'no' to the assertion that's it's the poor US companies that get fined by the EU. EU used to be trust-central: all large EU companies were colluding to screw the customers. If the EU did one thing right, this is it: they dismantled the trusts. Many European companies have been fined heavily, to the tune of 100 of millions of euros (that's billions of dollars :). That the EU doesn't make an exception for corporations from a country that has all but dismantled anti-trust law... well boohoo.

    The US needs to learn that free competition should trump capitalism.