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Brussels Loosens Its Leash On Microsoft’s Media Player Compliance

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imageThe European Commission is relaxing rules on how Microsoft (NSDQ: MSFT) must comply with an earlier ruling that it broke competition regulation. In 2004, the commission fined Microsoft €497 million (£442 million) for tying Media Player to Windows and for failing to support server interoperability. It told Microsoft to offer Windows without Media Player and to disclose server documentation - orders that have, until now, been monitored by a commission-appointed trustee.

SEE ALSO: Google Joins Mozilla, Opera In EC’s Anti-Microsoft Browser Witch Hunt

Today, the commission, in its release, said it “no longer requires” the full-time trustee and will instead call on the “ad hoc assistance of technical consultants”, who will advise merely “from time to time”. The commission said it was taking the move because Microsoft had already published the server information and because third parties now had more rights to take Microsoft to court. This is no way removes the ongoing compliance obligation on Microsoft but, especially since Windows Xp is no longer sold, the trustee’s continued employment seemed doubly unnecessary. Still, the EC will keep a watching brief - 12 months ago, it fined Microsoft a further €899 million for failing to comply fully with these very obligations.

But the trustee may be hanging out for a recall - after Norwegian browser maker Opera complained, the EC in January came to a preliminary conclusion that Microsoft’s tying of Internet Explorer to Windows “distorts competition on the merits between competing web browsers insofar as it provides Internet Explorer with an artificial distribution advantage”. Watch this space.

(Photo: Thomas Hawk)

Mar 4, 2009 9:33 AM ET

Posted In: Legal, Regulatory, EC, Companies, Microsoft

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