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Deal in Microsoft-EU browser war | Deal in Microsoft-EU browser war |
(about 2 hours later) | |
Microsoft has reached agreement with European Union anti-trust regulators to allow European users a choice of web browsers. | Microsoft has reached agreement with European Union anti-trust regulators to allow European users a choice of web browsers. |
The accord ends 10 years of dispute between the two sides. | The accord ends 10 years of dispute between the two sides. |
Over that time, the EU imposed fines totalling 1.68bn euros ($2.44bn, £1.5bn). | Over that time, the EU imposed fines totalling 1.68bn euros ($2.44bn, £1.5bn). |
The European Commission said Microsoft's legally binding agreement ended the dispute and averted a possible fine for the company. | The European Commission said Microsoft's legally binding agreement ended the dispute and averted a possible fine for the company. |
The Commission's concern was that the US computer giant may have broken competition rules by bundling its Internet Explorer web browser with its dominant Windows operating system. | The Commission's concern was that the US computer giant may have broken competition rules by bundling its Internet Explorer web browser with its dominant Windows operating system. |
This is a victory for the future of the web Jon von Tetzchner, chief executive, Opera | This is a victory for the future of the web Jon von Tetzchner, chief executive, Opera |
Competition Commissioner Neelie Kroes said: "Millions of European consumers will benefit from this decision by having a free choice about which web browser they use." | Competition Commissioner Neelie Kroes said: "Millions of European consumers will benefit from this decision by having a free choice about which web browser they use." |
Microsoft general counsel Brad Smith said the company was "embarking on a path that will require significant change". | Microsoft general counsel Brad Smith said the company was "embarking on a path that will require significant change". |
"Nevertheless, we believe that these are important steps that resolve these competition law concerns," he added. | "Nevertheless, we believe that these are important steps that resolve these competition law concerns," he added. |
Better browsers | Better browsers |
Ms Kroes said Microsoft's pledge was an incentive for web browser companies to innovate and offer better browsers in the future. | Ms Kroes said Microsoft's pledge was an incentive for web browser companies to innovate and offer better browsers in the future. |
Internet Explorer is used by more than half of global internet users, with Mozilla's Firefox at about 32% and Norway's Opera with 2%. | Internet Explorer is used by more than half of global internet users, with Mozilla's Firefox at about 32% and Norway's Opera with 2%. |
It was the minnow operator, Opera, that brought the latest complaint about browsers in 2007. | It was the minnow operator, Opera, that brought the latest complaint about browsers in 2007. |
THE STORY SO FAR Dec 1998 - Sun Microsystems lodges first complaint about Microsoft dominanceFeb 2000 - Commission launches investigation after claims Microsoft was not sharing information about its Media PlayerMarch 2004 - Commission fines Microsoft and orders it to share informationDec 2007 - New investigation after Opera complains about browsersFed 2008 - Commission raises 2004 fine Jan 2009 - Commission accuses Microsoft of illegally tying internet explorer to WindowsJuly 2009 - Microsoft agrees to browser choice screen proposal Dec 2009 - Commission wraps up investigation | THE STORY SO FAR Dec 1998 - Sun Microsystems lodges first complaint about Microsoft dominanceFeb 2000 - Commission launches investigation after claims Microsoft was not sharing information about its Media PlayerMarch 2004 - Commission fines Microsoft and orders it to share informationDec 2007 - New investigation after Opera complains about browsersFed 2008 - Commission raises 2004 fine Jan 2009 - Commission accuses Microsoft of illegally tying internet explorer to WindowsJuly 2009 - Microsoft agrees to browser choice screen proposal Dec 2009 - Commission wraps up investigation |
The company's chief executive, Jon von Tetzchner, agreed the move would boost innovation. | The company's chief executive, Jon von Tetzchner, agreed the move would boost innovation. |
"This is a victory for the future of the web. This decision is also a celebration of open web standards, as these shared guidelines are the necessary ingredients for innovation." | "This is a victory for the future of the web. This decision is also a celebration of open web standards, as these shared guidelines are the necessary ingredients for innovation." |
Nevertheless, we believe that these are important steps that resolve these competition law concerns." | Nevertheless, we believe that these are important steps that resolve these competition law concerns." |
Microsoft's commitments on web browsers will be valid in the European Economic Area for five years. | Microsoft's commitments on web browsers will be valid in the European Economic Area for five years. |
Dominant bundle | Dominant bundle |
In preliminary findings released in January, the European Commission said Microsoft "may have infringed" a European Treaty by "abusing its dominant market position" by bundling the company's web browser with its Windows PC operating system. | In preliminary findings released in January, the European Commission said Microsoft "may have infringed" a European Treaty by "abusing its dominant market position" by bundling the company's web browser with its Windows PC operating system. |
In July, Microsoft proposed a consumer choice screen that allowed users to pick from a number of different browsers. | In July, Microsoft proposed a consumer choice screen that allowed users to pick from a number of different browsers. |
The Commission then asked Microsoft to improve the choice screen, which it has now done. | The Commission then asked Microsoft to improve the choice screen, which it has now done. |
In 2004, the EU fined Microsoft and forced it to offer a version of its Windows operating system without Microsoft's own media player. | In 2004, the EU fined Microsoft and forced it to offer a version of its Windows operating system without Microsoft's own media player. |
The company was also told to give rivals more information about how Windows works, so they could make their own software integrate better with the operating system. | The company was also told to give rivals more information about how Windows works, so they could make their own software integrate better with the operating system. |
Microsoft appealed against the decision but lost its case in 2007. | Microsoft appealed against the decision but lost its case in 2007. |
Outstanding concerns | Outstanding concerns |
There remain, though, unresolved areas of dispute between the two parties. Although here, too, progress has been made. | There remain, though, unresolved areas of dispute between the two parties. Although here, too, progress has been made. |
Microsoft has submitted an improved version of undertakings it made in July on interoperability. | Microsoft has submitted an improved version of undertakings it made in July on interoperability. |
These are designed to address EU concerns about improving the compatibility of third-party products with several Microsoft ones, such as Windows and Microsoft Office. | These are designed to address EU concerns about improving the compatibility of third-party products with several Microsoft ones, such as Windows and Microsoft Office. |
The Commission welcomed this move too, but said it would monitor its impact on the market. Any findings would be taken into account in a pending anti-trust investigation on interoperability, it said. | The Commission welcomed this move too, but said it would monitor its impact on the market. Any findings would be taken into account in a pending anti-trust investigation on interoperability, it said. |