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Microsoft To Appeal EU Decision

Posted by Zonk on Tue Apr 11, 2006 12:05 PM
from the fighting-the-old-country dept.
An anonymous reader writes "News.com has an article on Microsoft's upcoming appeal of the EU antitrust decision. Their argument is essentially that they shouldn't be penalized for becoming successful in a marketplace." From the article: "Microsoft relies on the fact that its communication protocols are technologically innovative and are covered by intellectual-property rights ... [the company] had designed its Windows server operating systems from the outset to interoperate with non-Microsoft server operating systems"
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  • by liliafan (454080) * on Tuesday April 11 2006, @12:07PM (#15106328) Homepage
    "Microsoft had designed its Windows server operating systems from the outset to interoperate with non-Microsoft server operating systems,"


    If this is the case why are they complaining so much about documenting the protocols that would allow non-Microsoft software to interoperate?

    A lot of people don't agree with the EU anti-trust, personally I think the EU is succeeding where the US anti-trust cases failed, they are actually punishing M$, hopefully, Microsoft will learn a lesson this time around.....I doubt they will though.
    • by erroneus (253617) on Tuesday April 11 2006, @12:34PM (#15106541) Homepage
      The interaction only goes one way. And strangely, few if any complaints about that from the vendors whose territory they trample.

      Seems all of their own interoperability is for the purpose of migration [to Windows], not for peaceful cohabitation in a mixed computing environment.
    • I just can't believe they appealed...
    • by Mateo_LeFou (859634) on Tuesday April 11 2006, @01:11PM (#15106823) Homepage
      Not sure if these are in strictly chronological order, but:

      1. We shouldn't have to give out documentation because we're not a monopoly
      2. We can't give out documentation.
      3. We gave out source code; that's the same as documentation
      4. We can't figure out what exactly it is you want us to give out.
      5. We don't need to give out documentation; the stuff is already interoperable enough.
      6. We shouldn't have to give out documentation 'cause that would mean giving away our intellectual property.

      This would be hilarious if it weren't so damaging to the marketplace. Could someone point me to the part of the EU's decision where Microsoft is required to sign over its intellectual property to someone?

      • Because, as you just pointed out... Ford doesn't own the entire market. If you change to Chevy, or GM, or any other vehicle, you loose nothing. (Except for any backlog of parts and knowledge specific to the product that you may have). And that is a cost that you will have to decide is worth it or not.

        Ford does not (and can't really) use its leverage to make the auto parts manufactures to produce only parts for them and not anyone else.

        Ford can't basically tell you... "Drive us, or you will have to walk".

        If company A switches from windows to something else, (assuming they will unhook the leash to do so... stockholm syndrome comes to mind.), depending on their industry, they may not be able to function... this is not entirely due to the classic arguement of "no applications"..

        The long and short of it is that Micro$haft is being "singled out" (as you say) because of what they have done in the industry, not their size. You don't cage the gorilla for being 500lbs; but if he smacks everything that comes within 50 feet to death, and prevents any little gorillas from being born... I'm pretty sure you want a wall between him and you.
  • Sure, George (Score:5, Informative)

    by gowen (141411) <gwowen@gmail.com> on Tuesday April 11 2006, @12:09PM (#15106348) Homepage Journal
    had designed its Windows server operating systems from the outset to interoperate with non-Microsoft server operating systems
    Sure. That's why SMB is so appallingly documented that the only way to re-implement it is by packet sniffing Windows clients. And why their Kerberos implementation [networkworld.com] was deliberately incompatible with everyone elses, and with the incompatibility protected as a trade secret.
  • by truthsearch (249536) on Tuesday April 11 2006, @12:16PM (#15106412) Homepage Journal
    Sure, they were designed to interoperate. They just weren't documented. Or not documented well.

    Anything can interoperate with any other as long as the protocols are documented and those documents are made available.
    • by k12linux (627320) on Tuesday April 11 2006, @12:50PM (#15106663)
      Right. Anyone can communicate in a foreign langauge as long as they take the time to learn it too. Of course if those who speak it refuse to teach someone who doesn't then good luck trying to master the langauge. The best MS outsiders can do is listen in on the conversation, try to pick out the right words and see what happens when you repeat some of them back to someone else. (With any luck you make no major mistakes and the person you are talking to doesn't become enraged and kill you.)

      MS's SMB/CIFS implementation is really not different. They refuse to teach anyone else the protocols (language) and what progress there has been was due to packet sniffing (listening in) and repeating things back that seem right to see what happens.

  • Frankly... (Score:5, Funny)

    by dex22 (239643) <.plasticuser. .at. .gmail.com.> on Tuesday April 11 2006, @12:17PM (#15106422) Homepage
    I can't imagine Microsoft appealing to anyone... ;)
  • Msg to those in EU (Score:4, Interesting)

    by Anonymous Coward on Tuesday April 11 2006, @12:17PM (#15106424)
    Write to your reps in the EU to encourage them to keep up the pressure. Don't let it drop like it did in the US. Those of us across the pond from you are still shocked that the case was won by the US DOJ after spending millions of $US then rendered ineffective by politics.


    We need open standards. We need interoperability. However, closed standards, proprietary formats, and DRM all serve to preserve marketshare by those owning the technology and serve to lock out any competition. Bid on a project and you can propose vendor A version 2000 or vendor A version 2003 or vendora A version XP.... Now that is competition, right?

  • Wrong argument (Score:5, Insightful)

    by Anonymous Coward on Tuesday April 11 2006, @12:22PM (#15106464)
    Their argument is essentially that they shouldn't be penalized for becoming successful in a marketplace

    Shouldn't that be "penalised" not "penalized" as I'm pretty sure they use English rather than American in the EU, certainally we do in my part :-)

    Anyhow it's a deliberatley misleading argument - they're not being penalised for being successful, they're being penalised for BREAKING THE LAW. They really need to understand that the EU sees them as CRIMINALS and not contributing members of society. If they don't want to be treated as criminals then they shouldn't willfully and deliberatley break the law.

    They may be attempting to appeal that decision, however for the fact remains that it's not their success that has them up in the dock, it's their illegal behaviour.

    Specifically for abusing their monopoly position to the detriment of the market - adminttedly the monoply does show they were successful but that entire argument is a fallacy.
    • Re:Wrong argument (Score:5, Insightful)

      by Bogtha (906264) on Tuesday April 11 2006, @12:56PM (#15106712)

      Anyhow it's a deliberatley misleading argument - they're not being penalised for being successful, they're being penalised for BREAKING THE LAW.

      I wish we could punish people who spout insincere rhetoric like this by treating them as if they were being honest.

      Microsoft: "We shouldn't be punished for becoming successful."
      EU: "Okay, we agree to those terms, appeal over."
      [A month goes by.]
      Microsoft: "Why are you forcing us to comply with the original judgement?"
      EU: "Why wouldn't we? That wasn't a punishment for being successful, that was a punishment for being anticompetitive."
      Microsoft: "We appeal!"
      EU: "You already had your appeal, we agreed to your terms, remember?"

    • by ccady (569355) on Tuesday April 11 2006, @01:07PM (#15106793) Journal

      Shouldn't that be "penalised" not "penalized" as I'm pretty sure they use English rather than American in the EU, certainally we do in my part :-)

      Anyhow it's a deliberatley misleading argument ... they shouldn't willfully and deliberatley break the law.

      Is deliberatley an English word, too? No wonder us 'merican hicks cain't git it right.

      [Just pulling your leg. Not disturbed, just amused.]

  • What IP rights ? (Score:4, Insightful)

    by alexhs (877055) on Tuesday April 11 2006, @12:27PM (#15106487) Homepage Journal
    the Commission's demands threaten Microsoft's intellectual-property rights.

    What intellectual property rights ? The EU Commision didn't ask for the source code (copyright), and software patents have no legal value in Europe...
  • Ah, I see! (Score:4, Insightful)

    by gowen (141411) <gwowen@gmail.com> on Tuesday April 11 2006, @12:27PM (#15106492) Homepage Journal
    [the company] had designed its Windows server operating systems from the outset to interoperate with non-Microsoft server operating systems
    Its non-Microsoft client operating systems that they have the problem with. You can have your slice of server space, but if your alternative OS's try and pick up market share for desktop computers, then they'll do everything they can to stop you.
  • If Microsoft can show anything that is both genuinely "innovative" (and using the BSD TCP/IP stack is not innovative) and compatible with non-Windows systems (excluding Samba, as that was reverse-engineered), I'd say the EU should be willing to listen and should perhaps reduce or suspend the fine. (So that regular Slashdottians don't suffer a heart attack, I don't consider this remotely likely.)


    If Microsoft is appealing on flagarantly fraudulant grounds that lie somewhere between making false statements to a court of law, deceptive advertising, and wilful abuse of the appeals system, then the EU should seriously examine if the law would allow them to increase the fine. Doubling it would seem suitable.


    This needs to be settled, once and for all, in a way that is fair but decisive.

  • by dueyfinster (872608) on Tuesday April 11 2006, @12:49PM (#15106659) Homepage
    Microsoft uses Ireland as a base to filter billions of dollars every year (Through a wholly owned obscure subsidiary), through a solicitors office in Dublin. That office controls all license revenue from Asia, Europe and Africa. On average they contribute $50 per person per year to Irish economy, with our low corporation tax rates. The EU has FULL legislative power over this, what represents a huge chunk, if not more than 50% of MSFT's business, so unlike South Korea, Microsoft could not just leave (like they threatened to move to Canada), as most of their Intellectual Property rights are based here in Ireland. The E.U. probably holds the most power over Microsoft then any legislator in the world, its all whether they are bman enough to make Microsoft pay for their crimes.....
    • by erroneus (253617) on Tuesday April 11 2006, @12:37PM (#15106577) Homepage
      EXACTLY. They are "successful" at the expense of the public which makes them harmful.

      Cockroaches are "successful." Rats are "successful." Microsoft is "successful."

      (wasn't that clever of me to associate cockroaches and rats with microsoft?)
    • What objective standard do you intend to use? How much is 'too much'? Who gets to decide?

      The idea is you don't punish the good for being the good. That's like saying, why don't we ban the New York Yankees from baseball because they have the most talented players? I think they're hitting way more home runs than they need to.

      If I owned a farm and had a bumper crop of corn one year, should I be penalized for being successful? What if I have ten farmers, all working cooperatively? What is the demarcation line
      • If I owned a farm and had a bumper crop of corn one year, should I be penalized for being successful? What if I have ten farmers, all working cooperatively? What is the demarcation line for government or anyone to step in because 'success' has been too great.

        The government might well decide to have a look at your business practices... If you owned a farm and attempted to buy out, intimidate, and crush your rival farmers, if you then locked down the distribution market with illegal contracts to make it very
    • Re:market success (Score:4, Insightful)

      by JustASlashDotGuy (905444) on Tuesday April 11 2006, @01:11PM (#15106820)

      I think they're making way more money than they need to. Just like gas companies. Being successful
      doesn't make it right.


      Comments like yours are the ones that the 'other side' love. Someone who doesn't have the slightest
      grasp as to what is going on and makes comments that lead everyone else to believe that you don't have
      a grasp on capitalism. The simple fact that a company makes a lot of money doesn't make them bad or
      mean that restrictions should be placed on them. The company makes what the market permits, supply
      and demand. It's not up to you to say 'they are making too much money', there's no such thing as too
      much money (legally).

      You're probably one of those people that think the rich should be taxed to death for the simple fact
      that they have more money. "You make 1 million dollars a year.. I think we should tax you to death so
      you only take on 50k a year!... that is fair in my warped concept of fair".

      * Now, to be fair... you may very well have grasp on the facts, in fact I hope you do. Your comment
      alone is what I find rediculous, however you'll prolly get mod'd up as 'insightful' based on this
      crowd.
    • Re:Yeah. (Score:4, Insightful)

      by MSFanBoi2 (930319) on Tuesday April 11 2006, @12:51PM (#15106674)
      The best thing is both blaster and slammer had fixes released well before the worms hit.

      It's most assuredly not Microsoft's fault that people don't patch.

      And any fool who says Linux or MacOS X don't need to be patched, are just that, fools.
      • Re:Yeah. (Score:4, Insightful)

        by TheRaven64 (641858) on Tuesday April 11 2006, @02:00PM (#15107252) Homepage Journal
        It's most assuredly not Microsoft's fault that people don't patch

        It is, at least partially. Microsoft had (have?) a habit of releasing 'new features' with security patches. This meant that the security patches needed careful testing before deployment, since the new features often came free with new bugs that could break existing software. For most other operating systems, the security updates are just that; security updates. If you install a security update for OS X/FreeBSD/whatever, the only things that it should break are programs that made use of the insecurity that is fixed (and you probably want these to break, rather than being exploited, anyway). On Windows, it can be a game of Russian Roulette to patch a running server.