Microsoft Corp., the world’s largest software maker, offered to include rival Web browsers in the Windows operating system to settle a European Union antitrust case.
Microsoft accepted a key European Commission demand that it give consumers a choice of browsers through a so-called ballot screen, the commission said in a statement today in Brussels. The company also offered to resolve a second antitrust case over word-processing and spreadsheet software.
“Microsoft is basically capitulating,” said Matt Rosoff, an analyst at Kirkland, Washington-based Directions on Microsoft. “Microsoft was able to absorb fines and be more aggressive with their legal strategy when business was good, but when you’re looking at ongoing fines in a downturn, it makes more sense to settle.”
Yesterday, Microsoft reported sales for the quarter ended June 30 that fell 17 percent to $13.1 billion, more than $1 billion short of the average estimate in a Bloomberg survey of analysts. The Redmond, Washington-based company, which has been fined 1.68 billion euros ($2.39 billion) in previous EU antitrust cases, would avoid another penalty if it reaches a settlement.
The ballot screen would allow consumers who buy new personal computers to set a default browser from a range of software makers. Microsoft rivals and consumer groups will have an opportunity to offer comments on the proposed settlement before the EU makes a final decision.
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Friday, July 24, 2009
Microsoft Offers to Add Rival Browsers to Settle Case
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