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EU starts market-testing Microsoft's software changes

06/06/2005 - 11:37:59
The European Commission today said it was starting market-testing of Microsoft’s software changes meant to fall in line with a European Union antitrust ruling.

It added Microsoft also acknowledged it would give rival companies free access to some of its software codes and allow full operability on its Window’s based servers.

The EU head office said the proposed alterations to the US software company’s Windows program was to be put to its rivals “to assess them in full” making sure it allows for more interoperability.

If EU regulators find the changes don’t go far enough, they could call for heavy sanctions on the company of up to 5% of its daily global sales. Market testing is to last for several weeks officials said.

EU Competition Commissioner Neelie Kroes said she remained ”determined to ensure that all elements of the (2004) decision are properly implemented".

“This includes the ability for developers of open-source software to take advantage of the remedy,” Kroes said.

Microsoft met an EU deadline last week to answer outstanding complaints from EU regulators that it was not fully complying with last year’s ruling against the company. Those replies are now being studied, officials said.

The EU imposed a fine of €497m and said Microsoft abusively wielded its Windows software domination to lock competitors out of the market.

The EU and Microsoft refused to divulge the actual content of the proposals. During the last days of talks, however, negotiations centred on pricing and royalties that can be charged to allow software competitors to better dovetail their products with Microsoft’s Windows platform.

The EU’s antitrust ruling requires Microsoft to share its Windows server code with rivals under certain conditions to make the industry more competitive in the European marketplace.

EU officials said Microsoft had agreed to make its software easier to operate with rival addition programs like video or audio players, and to make this new interoperable Windows product available around the world.

Officials added that Microsoft also acknowledged that part of its changed open-source software will have to be royalty-free.

Last month, the EU’s regulators were still not convinced the Windows version the company was forced to produce without Media Player was technically up to standard.

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