Vikingod

Source: Softpedia
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Microsoft has learned over the past few years that Europe is a whole different ball-park, where it is only a guest. However, nothing has prepared Microsoft for what the EU has in store for Windows. Back in August 2007, Microsoft submitted a Protocol Pricing proposal to the European Commission. Six months later, the EU Commission issued a response under the form of a Statement of Objections that targeted the royalties Microsoft wanted to impose for its protocol technology licensing program over the pond.

GutterPunk

I can't get that page to load, it sits blue!

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Necrosis

Holy Carp it's April 2007!!! Wow, time travelin' news.

Vikingod

Strange, it works for me using Opera.

Vikingod

Yes, it's a gift I have, I can get news from the future

DudeBoyz

Man, if I was Microsoft, I'd be pissed. I'd be all knee-jerk and like "Screw you. We're just not going to sell Windows in the EU after all. You are the weakest link - goodbye."

temeteus82

And you have an idea how much money MS would then lose

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DudeBoyz

They can afford it.

Sometimes you just gotta do something on priciple and take a stand.

I'd just withdraw from the EU for at least a year. Take my bat, take my ball and just go home.

If you don't participate in a market, they can't regulate you, right?

Too bad they didn't do that before they got fined a billion dollars (spread across 2 fines). They could have saved that money, at least.

Brutality

I dont get it... Why is EU beating M$? I'm in no mood of reading right now, but EU is really bullying M$. I wonder what would happen, if M$ would take their shop out of EU and say, they're out. I'm SO sure that EU will be begging for M$ to come back :P

GutterPunk

I agree
i dont like this whole deal

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Vikingod

I don't blame the EU for regulating monopolies, its their job. Just like its MS's job to fight it. Fact is, no matter how much they fine them, MS still comes out on top by a LOOOOOONG shot. MS made 12.5 billion dollars last year, with 6+ in cash flow at the end of the year. Even after all the fines, lawyers, R&D, everything. Its got some of the best financial minds in the country running it, and if they thought it was losing money, they would pull out. Personally, I like Microsoft, its an interesting company, but I certainly wouldn't throw them a pity party.

Edit: here are their 06 financials (SEC filing 10-K). The notes and discussion address all this stuff. Its a good read for those with some background.

DudeBoyz

Nah. Microsoft is EVIL - EVIL I tell you! They are SATAN INCARNATE.

That said, all I'm sayin' is that I'd be pissed and bail on Europe just to get those jerks out of my hair. Point of principle and all that.

Hey, I wanted MS busted up into at least two companies - one that did ONLY the operating system, and one that did all the rest. But the Reps came into the House and Senate and Whitehouse and put the kibosh on the previous Democratic AG investigation.

Lelisevis

Oh God I fear for my life, once you lot are finished with Iran......Europe will be next. To be honest at least here in the Uk Microsoft have always took the piss with it's pricing both with it's software and it's hardware (360 anyone), It's about time they got a smack in the mouth.
I'm not saying they should give it away but a level playing field worldwide would be nice and it would probably have the benefit of reducing Piracy, out of a group of 10 friends im the only one who paid for his OS and even that was an OEM version, I just didnt have the Ł400 ($800) for a retail version.

DudeBoyz

What the hell are you talking about this Iran crap for?

It's not relevant.

Lelisevis

Just to wind people like you up. It's called humour mate but hey admin feel free to edit it if it's offensive.

DudeBoyz

That's a stupid reason. It sure as hell isn't funny, and it sure as hell isn't necessary in this discussion.

Sandok

Apple is evil... MS is fine to be honest and make functional OSs...

And in todays' world, even if MS doesn't sell in euroep (ouch that's a lotta major orginizations like Nestlé, Novartis, UBS, etc...) Plus worse come worse, people would order it from the US.... Tis a global age nowadays

Why would you want to slipt MS? That's like splitting sony in 4 divisions... TVs, PCs, PS3s and misc... Why would that be even considered?

Zeph

I'm still wondering why OS X comes with iTunes and its other multimedia programs. This article has no credibility to me, with the date being wrong.

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temeteus82

MS can't say good bye to EU market for good that is fact! MS have "monopoly" over PC OS so you would think that EU wants to more software to challange MS in other levels... Think how much EU uses money on MS software and the member countries.... thats one big load of €€€€

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Vikingod

I think what Duder was referencing was the US v. Microsoft case from 1999. An option discussed was splitting MS's division into separate companies, as a punitive/corrective measure. It wasn't a great case and nothing really earth shattering came from it (ie. slap on the wrist).

As far as the Iran reference, I don't get it, not even as a joke. It's directed at the US? Last I checked, the EU wasn't the United States.

Guys, this really is much adieu about nothing. This is just business, pure and simple. MS is working in a rapidly growing field that is very unregulated, especially in Europe. Its really the same sort of thing that happened to banks in the 70's. The worlds governements are taking more and more notice of these giant, powerful companies. ITs a good thing. If a company like microsoft was allowed to do what they want, with the resources they have, and the market share, they would rule the world more than they already do. That doesn't make them EVIL (gasp!), it makes them an agressive business. Microsoft didn't get to be where they are by being nice, no company does (not even Google, double gasp!).

The sole purpose of a company is to generate return to stockholders. What modern thought is changing toward is that maybe these companies that have billions of dollars and more power than most government, owe something to the communities they operate in. That, and the fines go to the government, which is almost a tarriff to operate within the country, but under the table as it were.

This is really the first time in history that a company demonstrated that kind of global power over an industry and economies. It must be watched or you wind up with the same economic issues that existed during the industrial revolution.

well, that was probably a waste of time, as it seems very few read these type of posts anyways.

DudeBoyz

Screw the EU - let 'em do Linux and Open Office.



I only use Windows because I pretty much HAVE to in order to interact with clients.

As soon as there is an open document format that actually works, I'm going to try to 100% dump MS Office in favor of Open Office. But I can't afford to be handling files with Open Office if it in any way makes it incompatible with client documents.

But even MS may get tired of being pushed around. So, let 'em freak out and just blow the EU off and then see how they fare. If the EU moves on and switches to different stuff - cool. If not - whatever. Maybe the'll shut up about these little nagging things and stop trying to extract billions in fines from Mr. Bill Moneybags and focus instead on actually doing something to help consumers.

MS should not be prevented from bundling anything they want with their OS. But they should be prevented from using predatory practices.

Niggling over patent royalties is a joke. MS should not ever be forced to share patented info if they don't want to. MS is entitled to make money. They are just not entitled to prevent others from making money.

The conflict comes in that they own BOTH the OS and the biggest set of apps, and they unfairly force bundling of the OS and those apps (like office) at the exclusion of others.

So, break the Operating System division into a totally separate entity that must do some very specific things, and let MS do everything else they want with Office and all their other crap apps.

Don't allow cross-bundling agreements between the OS company and the software company. Allow all OEM's to bundle whatever they want with no limitations imposed by the Operating System company.

They are using the bludgeon of the OS to force everything else, and that should just not be allowed.

bug77

That's why they can't bail on EU. Too many governments/organizations are switching.

And I guess EU is on to something: M$ has always built closed OSes and then sold M$ built programs than ran best on Windows. This is definitely wrong, however, EU's legitimity to set a price on M$ products is at least debatable. Bottomline: open source FTW!

Zelig

I read them, they're quite interesting.

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DudeBoyz

All bodies should be allowed to do is provide for competition. I don't they should be allowed to regulate prices on items not essential to human survival.

Regulate the cost of power? I can see that. Regulate the cost of grocery food to some extent? I can see that.

But trying to dictate what MS can charge in royalties? Don't think so. Other companies are free to develop their own products, not make money off of the code that MS has created, imo.

BlueMak

The reason that MS can't bail out of Europe is that it would force even more people on other OSes and software. If a huge market like the european changes to another product, more people outside europe will start thinking about doing it as well.

MS has only to lose if they do any such thing.

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bug77

It is EU's opinion that by making services available to 3rd parties and charging too much for it, effectively restores Windows as a closed system. They do point out that those services themselves carry little inovation to justify the prices M$ is asking for. E.g. there's nothing in Vista that other OSes don't already have (except for DRM and DX10, but DX10 itself adds little on top of DX9 anyway).

DudeBoyz

That's fine though. Nobody is FORCING people in Europe to use Windows.

Just ban Microsoft from having their OS pre-installed, pre-bundled with any systems sold in the EU and let customers get what they want.