Wednesday, October 24, 2012

Microsoft Corporation (NASDAQ:MSFT): European Commission sends statement of objections

Microsoft Corporation(NASDAQ:MSFT) is in trouble with European anti-trust regulators again!

The European Commission has sent the world's largest software company a statement of objections pertaining to its failure to provide users with a choice of web browsers.

Microsoft had said that it would comply with this commitment after the Commission had made it legally binding on the company. The statement of objections sent by the Commission does not prejudice the final outcome of the investigations by the regulator.

According to a release by the commission -it takes the preliminary view that Microsoft has failed to roll out the browser choice screen with its Windows 7 Service Pack 1, which was released in February 2011. From February 2011 until July 2012, millions of Windows users in the EU may not have seen the choice screen. Microsoft has acknowledged that the choice screen was not displayed during that period.

In January 2009, the Commission sent Microsoft a Statement of Objections, outlining its preliminary view that the company abused its dominant position in the market for client PC operating systems through the tying of Internet Explorer to Windows.

In December 2009, the Commission had made it legally binding on Microsoft the commitments offered by the company to address competition concerns related to the tying of Microsoft's web browser, Internet Explorer, to its dominant client PC operating system Windows.

Microsoft had also committed to make available to its users in the European area a `choice screen' which would enable them to install whatever web browser they wanted to use.

The statement of objections is a procedural step in such investigations. 

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