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Industry welcomes EC`s MS ruling

By Tracy Burrows, ITWeb contributor.
Johannesburg, 25 Mar 2004

Software and multimedia competitors have welcomed the European Commission`s record fine against Microsoft in Europe.

Yesterday, European Union regulators ordered Microsoft to pay a 497 million euro fine, decouple Windows Media Player from the Windows operating system, and provide information on its server software for networked computers.

Digital media software developer RealNetworks says the ruling marks a victory for Microsoft competitors. RealNetworks is one of the main companies to gain from the ruling, saying this will make it easier to compete.

RealNetworks deputy general counsel Dave Stewart denies the ruling has come too late to help the company rebuild its market share.

"Certainly it has not come too late. We expect that PC original equipment manufacturers will take advantage of their new-found freedom. For the first time in five years they are not going to be forced to include Windows Media Player," he says.

Sun Microsystems, a long time Microsoft rival in the server market, wasn`t sure whether the ruling would help competition or its own ongoing anti-trust case against Microsoft.

In a statement issued late yesterday, Lee Patch, VP of legal affairs at Sun Microsystems, said: "Sun applauds the European Commission`s decision in the Microsoft case. This important, precedent-setting decision comes after more than four years of an exhaustive investigation with detailed and comprehensive submissions from both industry vendors and consumer groups, and a hearing held late last year in Brussels."

Patch noted: "The commission found that Microsoft has abused its dominant position in desktop operating systems to create an unlawful advantage for itself in the workgroup server market. In particular, the commission found that Microsoft has not been competing on the merits, but instead used interoperability between its desktops and servers to override other factors of server performance offered by its competitors.

"By requiring Microsoft to make disclosures that will allow other servers to comparably interoperate with Microsoft desktops and servers, the commission`s decision seeks to create a level playing field in the workgroup server marketplace, enabling competitors to deliver workgroup servers that can fully interoperate and therefore compete on the merits.

"This is enormously significant for consumers and for the industry. For the first time in many years, IT managers will be able to choose from a variety of workgroup servers, confident that they will interoperate with Microsoft desktops. Because the decision is forward-looking and covers future product releases, consumers can be confident that other workgroup server suppliers will be able to meet their needs even as Microsoft introduces new products."

Anti-MS site launch coincides with ruling

Meanwhile, a long-time anti-Microsoft activist has launched a new anti-Microsoft Web site timed to coincide with the EC ruling. Seattle resident David Blomstrom says he is launching his new site www.freedomware.us and announcing his candidacy for the office of Washington State Superintendent of Public Instruction.

Blomstrom also made Microsoft an issue when he ran for public office in 2003. His campaign was largely ignored by Seattle`s media, which he claims is in Bill Gates` "back pocket".

Related release:
Settlement would have been better, says MS

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