Linked by Thom Holwerda on Wed 27th Feb 2008 18:33 UTC, submitted by JJ
Microsoft "Microsoft was fined a record 899 million euros (USD 1.35 billion) by the European Commission on Wednesday for using high prices to discourage software competition in the latest sanction in their long-running battle. The executive arm of the European Union said the U.S. software group defied a 2004 order from Brussels to provide the information on reasonable terms. Microsoft has now been fined a total of 1.68 billion euros by the EU for abusing its 95 percent dominance of PC operating systems through Windows."
Thread beginning with comment 302648
To read all comments associated with this story, please click here.
Thats Crazy
by TaterSalad on Wed 27th Feb 2008 19:05 UTC
TaterSalad
Member since:
2005-07-06

That fine is crazy. I'd like to know where the EU came up with such a high figure.

RE: Thats Crazy
by SlackerJack on Wed 27th Feb 2008 19:11 in reply to "Thats Crazy"
SlackerJack Member since:
2005-11-12

They dont come up with the figure from thin air you know, just the same way a judge comes up with a figure for you to pay something. From what I've seen it's based on a percentage of what you earn or gross.

Microsoft earn alot of money so the fine will be big to you and me, if a smaller company did the same thing it wouldn't be the same figure because they profit less.

Edited 2008-02-27 19:12 UTC

Reply Parent Bookmark Score: 9

RE[2]: Thats Crazy
by J.R. on Wed 27th Feb 2008 19:14 in reply to "RE: Thats Crazy"
J.R. Member since:
2007-07-25

They dont come up with the figure from thin air you know, just the same way a judge comes up with a figure for you to pay something. From what I've seen it's based on a percentage of what you earn or gross.


Yeah its almost like RIAA wants you to pay a million and a half per album you pirated.

Reply Parent Bookmark Score: 1

v RE: Thats Crazy
by tomcat on Wed 27th Feb 2008 19:15 in reply to "Thats Crazy"
RE[2]: Thats Crazy
by Adurbe on Wed 27th Feb 2008 19:36 in reply to "RE: Thats Crazy"
Adurbe Member since:
2005-07-06

do you actually know what the EU does?

Yes, the fine is big, BUT microsoft would not have those kind of sums in the bank had it not denied the competition

The reason no-one wanted the non media player version was it was the same price as the version WITH (in the uk at least)

Reply Parent Bookmark Score: 14

RE[2]: Thats Crazy
by SlackerJack on Wed 27th Feb 2008 19:53 in reply to "RE: Thats Crazy"
SlackerJack Member since:
2005-11-12

Just like fines from the judge, pay them and you do it again, it's not like the EU can imprison all the CEO's and people responsible. If you had a court bindded by the rules of law what would you do?

Reply Parent Bookmark Score: 3

RE[2]: Thats Crazy
by cyrilleberger on Wed 27th Feb 2008 19:58 in reply to "RE: Thats Crazy"
cyrilleberger Member since:
2006-02-01

The difference in the WMP case and in this case, is that in the WMP case, Microsoft was force to offer to version of Windows for the same price and with one version beeing inferior to the other one. While in this case Microsoft is asked to release documentation about Windows API and protocols, for a reasonable price.

Reply Parent Bookmark Score: 3

RE[2]: Thats Crazy
by raver31 on Wed 27th Feb 2008 23:35 in reply to "RE: Thats Crazy"
raver31 Member since:
2005-07-06

Ok Mr Tomcat, explain why someone would pay EXACTLY the same amount of cash for two systems, one with all the "goodies" missing ?

Change the prices and then we will see.

Reply Parent Bookmark Score: 3

RE: Thats Crazy
by dmantione on Wed 27th Feb 2008 19:33 in reply to "Thats Crazy"
dmantione Member since:
2005-07-06

The DG Competition can ask 5% of the daily turnover for each day of non-compliance. Microsoft had to be compliant within 90 days after the Court of First Instance decided they did need to comply.

What they did is count the number of non-compliant days multiply with the daily fines, and subtract the non-compliance fine from 2006.

Back in 2006 the DG Competition did not fine the full 5% (if I remember well 3%) and warned the remaining money would be fined if Big M would still be incompliant. Apparantly this is what happened today (plus the full 5% daily fines after the 2006 fine).

It should be noted that Microsoft now is being considered compliant (the new terms allowed Samba to buy the documentation), but apparently they didn't get forgiveness for the non-compliant period since the previous fines in 2006.

Reply Parent Bookmark Score: 11

RE: Thats Crazy
by capricorn_tm on Thu 28th Feb 2008 05:17 in reply to "Thats Crazy"
capricorn_tm Member since:
2005-12-31

Easy.

The calculation is made on the period in which Microsoft broke the law and is a percentage variable between 3.5 and 11.4 depending on the gravity of the illecit income made in consequence of the felony.

Funny fact.

If the morons at Microsoft had just paied in first place instead in dragging the discussion for years (hoping the EU will starve on the way) they would have to pay less due to a shorter period of infringement.

Well written Law are such a bitch ;)

Reply Parent Bookmark Score: 3

RE[2]: Thats Crazy
by PlatformAgnostic on Thu 28th Feb 2008 07:06 in reply to "RE: Thats Crazy"
PlatformAgnostic Member since:
2006-01-02

Microsoft did pay the fine in the beginning before making the appeal.

Reply Parent Bookmark Score: 3

RE: Thats Crazy
by Coxy on Thu 28th Feb 2008 16:48 in reply to "Thats Crazy"
Coxy Member since:
2006-07-01

Probably the same formulars used by the USA when someone sues a fastfood chain becuase the hot coffee that they ordered was... wait for it... hot!

Edited 2008-02-28 16:48 UTC

Reply Parent Bookmark Score: 2