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Microsoft Wins Windows XP Downgrade Lawsuit

CWmike writes "A federal judge has dismissed a year-old lawsuit against Microsoft over alleged antitrust violations for the 'downgrade' rules it set for Windows Vista and XP. The order put an end to the lawsuit filed by Emma Alvarado in February 2009. In her original complaint, she accused Microsoft of coercing computer makers into forcing consumers who wanted to run Windows XP to first buy Windows Vista, or later, Windows 7, before they were allowed to downgrade to XP. The judge rejected Alvarado's accusations, saying that the plaintiff had not proved Microsoft benefited from the downgrade practices that it created and that OEMs implemented."

32 of 203 comments (clear)

  1. How? by leetrout · · Score: 4, Insightful

    I'm not a lawyer but how do you not prove that they benefited by having OEMs sell the newer version of their software before allowing a downgrade path?

    1. Re:How? by HermMunster · · Score: 5, Interesting

      There are a lot of ways they benefit. One by having mechanisms built into Vista that patrol the user that weren't there in XP that were rejected by XP users when they released WGA. The next is that they actually denied consumers the choice even though consumers asked for it and in the end the only way to get it was to pay for the OS twice (once for Vista and once for XP). OEMs aren't just the big boys such as the royal OEMs.

      This person's failure was obviously her failure of knowing the law or getting adequate legal council. Or Microsoft has deep pockets that get judges all hot and wet.

      The OEMs were forced to sell Vista and were told not to allow XP. Microsoft's approach to forcing Vista was systematic. It isn't hard to see what they had done over the past two years. Those actions could only be taken by a monopoly in the manner they were, and then again only by a monopoly with something to gain. Microsoft had been directing Royal OEMs to remove support for XP in the BIOS tables and as well had been telling hardware vendors not to provide drivers for XP (sound, wireless, etc). They didn't direct this in this manner without some plan and thus benefit to themselves.

      Really, it isn't hard to understand that users wanted X product but were forced to buy V product and then buy X product afterwords. When resellers said they were not able to comply and that Microsoft had discontinued their right to purchase the X product and then systematically denied support, and then lied about the availability of product keys. That's coercion of all parties--to say the least. When you consider Microsoft came up with more product keys after the netbook craze began you can see they were manipulating and coercing OEMs and thus consumers.

      If I were this person I'd refile (as I'm sure the case didn't go to trial) and then subpoena all the OEMs and their communications in preparation of the Vista release. I'd be willing to bet there's some real telling details in those correspondences.

      --
      You can lead a man with reason but you can't make him think.
    2. Re:How? by wizardforce · · Score: 3, Interesting

      I have a hard time wrapping idea around the concept of forcing someone to sell something they don't want to sell. The idea is absurd. It's very mafia-ish at the very least.

      A computer should be separate from the software; as such a customer should never be compelled to buy a computer conditional on also buying the software on the device. Of course this is already covered under US antitrust law as illegal tying even if it is rarely if ever enforced.

      --
      Sigs are too short to say anything truly profound so read the above post instead.
    3. Re:How? by RobertM1968 · · Score: 2, Interesting

      How did they benefit? It's a lot easier to make the case that the end user benefits for actually recieving two (non-concurrent) licenses for the price of a single license, given that the old software has been discontinued. I don't think the OEM price for Vista or Win7 is any different from XP, and the new versions are the replacements for the old - frankly they weren't required to offer an XP option at all (except by the oft-derided free market pressure that was upon them, of course - nothing bad to say about free markets when they help you out eh?), or any form of downgrade. You don't see Apple offering a free downgrade option from Leopard to Tiger, do you? Of course not, ordinarily the idea is absurd. The only difference is that this upgrade was not well-received, and it was offer a downgrade or lose customers.

      Since they weren't even required to continue selling XP at all, how the hell can you argue that selling a license that includes a free license for XP is anything but a value-add for the customer?

      I have a hard time wrapping idea around the concept of forcing someone to sell something they don't want to sell. The idea is absurd. It's very mafia-ish at the very least.

      That's weird... I just realized something... and maybe this is the problem:

      "Back in the day" many OEMs were selling the XP Downgrade at an additional cost. Nowadays, it seems one can buy a machine with Vista/Win7 or XP (with a Vista or Win7 license included) at the same price.

      Perhaps that is the problem with this suit (or part of it) - nowadays there is no extra charge. When the lawsuit was initiated, virtually everyone (due to Microsoft per their claims) was charging an extra fee for the downgrade license.

      Just two months ago, I purchased 4 XP machines for a client. They were the same price as the identical hardware with Vista or Win 7. They came with Vista restore disks but XP pre-installed. And a free upgrade coupon for Win7 (which was honored, btw)... meaning, for the price of one OS, it's come with XP pre-installed, Vista restore disks, and Win 7 upgrade on it's way in the mail (for the cost of S/H). (These were for Lenovo ThinkCentres)

      A year and a few months ago, the machine would have been an extra $40-80 for the "downgrade" to preinstalled XP.

      Perhaps they had a hard time proving it because there isn't anything available online to help them prove it now. Or they were checking the wrong manufacturers and didnt find any that still may be charging extra.

    4. Re:How? by shutdown+-p+now · · Score: 3, Informative

      in the end the only way to get it was to pay for the OS twice (once for Vista and once for XP)

      Except that once you've bought Vista, the downgrade to XP was free.

    5. Re:How? by tsm_sf · · Score: 2, Insightful

      It arrives as a properly configured and fully functional bundle of hardware and software or it is returned for refund or exchange under warranty.

      When was the last time you bought a new computer?

      --
      Literalism isn't a form of humor, it's you being irritating.
    6. Re:How? by hairyfeet · · Score: 4, Informative

      The problem is there was NO Vista Home to XP Home, which means that home users had to buy a more expensive license just to get XP. And THAT right there was the problem, and why they should refile.

      --
      ACs don't waste your time replying, your posts are never seen by me.
    7. Re:How? by Khyber · · Score: 3, Informative

      "Except that once you've bought Vista, the downgrade to XP was free."

      Not for anything lower than Professional, IIRC. If you had home/home premium/home basic you had to pay like a $50 downgrade fee.

      --
      Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
  2. It's their copyright and they can do as they want! by LostCluster · · Score: 3, Insightful

    Microsoft is under no obligation to give you a license for Windows XP if it doesn't want to. They've removed it from the general marketplace, but have left even Windows 3.1 in the MSDN subscription packages, even if those are a high price to pay for an old operating system, it's still the going rate.

    What a waste of resources. This lawsuit had no hope, and the money spent would have been better off asking Congress to lower the copyright expiration standard for software.

  3. Re:It's their copyright and they can do as they wa by wizardforce · · Score: 3, Insightful

    Besides, this was already covered under anti-trust legislation as illegal tying as Vista was the unwanted product tethered to the purchase of most OEM computers. Unfortunately, the chances of this ever being enforced are slim in the United States.

    --
    Sigs are too short to say anything truly profound so read the above post instead.
  4. Re:Stupid Lawsuit by wizardforce · · Score: 4, Insightful

    So this lady was suing because of what? Being slightly inconvenienced?

    In addition to tying the purchase of Vista to these machines, MS/OEMs charged a significant amount of money to replace Vista with the desired OS (Windows XP) which she claimed raised prices relative to a competitive marketplace which is certainly true.

    And Vista wasn't bad at all. Especially with a new machine that had the proper drivers.

    That is subjective and further irrelevant because the question is not whether you wanted Vista on the machine but whether the purchaser wants Vista on the machine. To her and millions of others, Vista was very undesirable.

    --
    Sigs are too short to say anything truly profound so read the above post instead.
  5. Why did this have to go to trial? by schwit1 · · Score: 3, Interesting

    Why can't the system have a panel of retired judges look at civil cases before a full trial to ensure it is warranted? If the plaintiff wants to move anyway when told there is not case, so be it. But the loser and the loser's lawyer should have to pay something to the winner. There has to be some meaningful consequence for the losers.

  6. Like, say, attorney fees? by Oxford_Comma_Lover · · Score: 2, Informative

    > There has to be some meaningful consequence for the losers.

    Almost nobody wants to go to court. (Attorneys sometimes do because it's fun to do advocacy before the court, but most of them are smart enough to put client interests first. Debt Collection agencies also want to because they're almost never opposed, because people don't have money to fight them, but they don't even really think of it as going to court.) Courts also have pre-trial systems in place to try to get the parties to agree to a settlement before trial is necessary--pretrial conferences serve that function in most courts. A judge can look at the record and say "Are you sure you don't want to just settle this?"

    Losing a lawsuit that you've spent years on (and likely paid for someone else to spend years on) is a pretty meaningful consequence for the losers.

    You've also got the problem that the bigger the consequence to the loser, the less likely they are to bring legitimate claims to court.

    --
    -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
  7. Re:Stupid Lawsuit by HermMunster · · Score: 3, Informative

    Even Microsoft admitted Vista was bad and worked hard on 7 to get it to market fast before Vista irrevocably harmed their image.

    --
    You can lead a man with reason but you can't make him think.
  8. Re:But Windows OS still sucks. by HeronBlademaster · · Score: 2, Insightful

    Unfortunately a lot of Linux flavours take their cue from Windows

    FTFY. "Queue" means something else entirely.

    At any rate, I don't think I'd say Windows sucks any worse than pick-your-own-distro-Linux. Why? Because I use them for entirely different purposes. As long as I'm a PC gamer, neither Linux nor OSX is going to serve my needs; as such I can hardly say Windows "sucks", since it's the only OS that actually does something I really want to do! (And no, wine is not sufficient.)

    If you're going to say "Windows is worse than Linux", you really do need to qualify that with what tasks you're talking about; clearly, each OS has its own strengths and weaknesses, and it's silly to pretend one is unilaterally better or worse than the rest.

  9. Re:Benefited? What kind of logic is that? by n6kuy · · Score: 2, Interesting

    No, you're good if the plaintiff doesn't prove you did it.

    --
    If you disagree with me on social issues, then it's pretty clear that you are a narrow-minded bigot.
  10. Re:But Windows OS still sucks. by Belial6 · · Score: 2, Insightful

    Having recently started working with a Mac, I am actually really surprised at how far behind Windows and Linux OSX is in UI. It is inconsistent, and poorly designed compared to it's modern counterparts. I mean, you have to jump through some pretty fiery logic hoops to come up with a good reason that a green plus would shrink a window.

  11. Re:Oh the irony by timmarhy · · Score: 2, Informative

    oh please use your brain. how were they forcing them to not sell XP? by not selling it to them in the first place!!!!

    --
    If you mod me down, I will become more powerful than you can imagine....
  12. You sue the wrong party or pursue the wrong action by Telephone+Sanitizer · · Score: 5, Informative

    how do you not prove that they benefited by having OEMs sell the newer version of their software before allowing a downgrade path?

    This is from the article:

    Computer makers, not Microsoft, charged users the additional fees for downgrading a new PC from Vista to XP at the factory. However, Alvarado did not name Lenovo Group Ltd. in her lawsuit.

    She sued MS for a practice of the OEM. Wrong defendant.

    It's possible that she could have shown vertical market manipulation, but that might not have been relevant. Such practices might give rise to a federal antitrust suit, but she brought a state unfair practices action.

    I'm no expert in the laws of Washington state, but from the article it appears that among other things she had to show that she did not receive value for her money and she failed to do so.

  13. They'd have to sell XP if it weren't for monopoly by Iyonesco · · Score: 2, Insightful

    72.54% of Windows users continue to use XP, so it is abundantly clear that the the market prefers XP to 7/Vista. If Microsoft had any competitors they would be forced to continue selling XP in order to avoid losing market share, however their monopoly means they do not have to worry about this since there literally aren't any competitors*. They are therefore abusing their monopoly by forcing 7/Vista onto a market that does not want it. What the judge says is true and Microsoft really aren't benefiting from this since they get a sale whether it's XP or 7, but that doesn't change the fact that this is a clear case of severe monopoly abuse. I certainly feel abused because I want to buy a laptop with Windows XP but all the options in my price range come with Windows 7 Home Premium. How can the judge conclude this isn't monopoly abuse? Somebody get the EU!

    *Mac OS is not a direct competitor to Windows since I can't legitimately install Mac OS on my PC. Alternatives like Linux aren't quite ready for the mainstream desktop user yet.

  14. Re:It's their copyright and they can do as they wa by QuoteMstr · · Score: 4, Interesting

    Most of the world's non-embedded computers run Windows. When a company reaches that level of influence, it ceases to be just another firm and instead becomes a part of our societal infrastructure. It's certainly reasonable to hold such organizations to a higher standard than we hold smaller organizations. The power company can't "do as they want" either.

    As long as Microsoft wants to enjoy the lucrative benefits of being a singular part of society's information infrastructure, society ought to have a say in how Microsoft is run.

    You might argue that imposing such restrictions is "punishing success". That's hardly true. The people responsible for Microsoft's growth have been rewarded many times over. If Microsoft finds regulations unbearable, it can split itself in two smaller companies, or shrink some other way. Then, it would no longer be subject to the same scrutiny.

    But as long as Microsoft

  15. Re:Stupid Lawsuit by shutdown+-p+now · · Score: 3, Informative

    In addition to tying the purchase of Vista to these machines, OEMs charged a significant amount of money to replace Vista with the desired OS (Windows XP)

    Fixed that for you. It was strictly an OEM charge.

  16. AAPL by Envy+Life · · Score: 3, Funny

    A computer should be separate from the software; as such a customer should never be compelled to buy a computer conditional on also buying the software on the device. Of course this is already covered under US antitrust law as illegal tying even if it is rarely if ever enforced.

    In other news, Apple Computer has hit an all time high in the stock market...

  17. Re:But Windows OS still sucks. by westlake · · Score: 2, Insightful

    As a user of Linux, OS X and Windows, Windows is still the worst. Unfortunately a lot of Linux flavours take their queue from Windows where they should be taking them from OS X.

    I believe the word you are looking for is "cue." That said:

    The latest client OS webstats from Net Applications, W3Schools, and others, should be out early next week. There have been some surprises posted already: Windows 7 eclipses Vista on Steam, 64-bit dominating 32-bit 1 in 5 Windows PC gamers running 64 Bit Win 7.

    The one certainty is that Linux will be bringing up the rear.

    The Apple OSX model is a tightly integrated - tightly controlled - bundle of OS, UI, hardware, apps and marketing. That targets a profitable upscale niche market little changed in 33 years.

    It's not a comfortable fit for a geek.

    Windows is shamelessly middle class and commercial.

    It is good, serviceable, tech that is available in every form factor and at every price point. The "protected path" is there for the user who thinks Netflix and Blu-Ray offer something of value.

    Windows doesn't compell you to buy Corel Draw and MS Publisher when Inkscape and Scribus are available. But neither does it give the GIMP a free ride because of its ideological purity or political correctness.

    That seems to be what most folks want.

  18. Re:But Windows OS still sucks. by mr_matticus · · Score: 2

    The green button is a "zoom to fit" button. The plus sign inside might be suboptimal, but there are no "fiery logic hoops" involved. If the window is larger than the "fit" size, it shrinks. The button's behavior is quite consistent--the destination is always the same. Different starting points just lead to different paths.

    The plus sign on hover might be suboptimal, but I don't think there's a simple symbol for "zoom to fit"--and zoom is generally regarded intuitively as zooming in. I doubt most people associate the mouseover symbol with the button function, though, given the strong associations people have with color.

    For what it's worth, when you click the maximize button on Windows on a window that is already maximizes, it too shrinks back--the button symbol doesn't reflect this, either. I can't really see a meaningful difference.

    This may be a petty complaint on my part, but if I click the red X, I expect the application to stop

    If I click the close button on a window, I expect the window to close. I do not expect that command to be passed upstream or laterally to other windows. Application-level control is performed at the application-level interface: the menu bar. As a shortcut, some simple apps automatically close when the last document does because the application can't do anything without windows open.

    If I have no windows open for a given application, I do not expect that application to be considered to be "running".

    And I wouldn't expect that closing desktop windows would terminate an application that continues to work in the background without open windows.

    Word, iTunes, Firefox, etc. however all CAN continue to run without windows open, playing music, downloading files, etc.

    It saves me tremendous amounts of frustration that applications with long load times don't shut down when I absentmindedly close the last document I was working on before opening the next.

    It's your conditioning entirely because the way windows work in Windows is different, and the popular Linux desktops duplicated the market leader for familiarity. Nothing more and nothing less. The windows model puts the application in a master "frame" if you will, with all the child windows contained within it. Close the frame, close the child windows. Apple doesn't use the frame; there's no "master" window for most applications.

  19. Re:But Windows OS still sucks. by drsmithy · · Score: 2, Informative

    For what it's worth, when you click the maximize button on Windows on a window that is already maximizes, it too shrinks back--the button symbol doesn't reflect this, either. I can't really see a meaningful difference.

    Actually, when you maximise a window in Windows, the button icon changes to reflect a different action will occur when you click it again. This has been true since at least Windows 3.0.

  20. Of course there IS a benefit... by Eth1csGrad1ent · · Score: 2, Insightful

    Instead of counting as an XP sale. It is instead counted as a Vista sale, and the marketing clowns at Microsoft get to beat their chests about how well the uptake of Vista was going (in stark contrast to the bad trade press no less). Nothing builds momentum like manufactured momentum...

  21. Re:Stupid Lawsuit by vistapwns · · Score: 2, Informative

    Your comment is not true at all regarding recent versions of Windows. Flaws in Vista and Win 7 typically only go up to remote code execution as a restricted user, and the user gets a security prompt if the exploit tries to go further. Additionally, IE is sandboxed (unlike FF, Safari and Opera) which means the most common by far vector into the system can not even touch user files. 3 year old Vista was declared by Charlie Miller, mac user and winner of multiple pwn2own hacking contests, to be MORE secure than brand new Snow Leopard, but don't let facts interrupt a good troll..

    --
    "...I think the Microsoft hatred is a disease." - Linus Torvalds
  22. Re:Stupid Lawsuit by IANAAC · · Score: 3, Insightful

    My general opinion of Microsoft is that they don't make good software, they make software that's just good enough. That's my personal opinion.

    That's pretty much my opinion on any current desktop operating system. They're all just good enough. I currently use Linux pretty much exclusively, except for a VM instance of XP, so I've learned how to deal with and get around anything that bugs me, but I would imagine the same could be said for both OSX and WinX.

    There really hasn't been anything new in the desktop world for decades, other than eye candy. Filesystems (which actually could have an impact on how we handle our data) have tended to evolve, rather than radically change.

  23. Re:But Windows OS still sucks. by jisatsusha · · Score: 2, Interesting

    In theory, you're correct. In practice, however, things don't really work that way. What is the content size of a terminal window? Even Apple can't decide. since the "zoom" button in Terminal.app simply fills the screen. Then there's web browsers. Safari seems to implement that zoom style behaviour, but Firefox does not. It's application specific behaviour on a control that appears on every window, and that's what's confusing.

    Contrast this with Windows, where the maximise button always either makes the window fill the entire screen, or returns it to its original size. As other commenters stated, the button does indeed change its icon to indicate that this is the case, and it may not be entirely intuitive (two overlapped boxes?) but neither is an x, a - or a + sign with traffic light colours, it's all something the user has to learn.

  24. Re:They'd have to sell XP if it weren't for monopo by CodeBuster · · Score: 2, Funny

    Alternatives like Linux aren't quite ready for the mainstream desktop user yet.

    Yes, but 2010 will be the year of the Linux desktop; just you wait and see...

  25. Re:It's their copyright and they can do as they wa by Blakey+Rat · · Score: 2, Insightful

    As long as Microsoft wants to enjoy the lucrative benefits of being a singular part of society's information infrastructure, society ought to have a say in how Microsoft is run.

    Society already has a say. They can stop buying Windows.