[A2k] Financial Times: Microsoft in EU Windows blow

[Andrea Glorioso]

On the topic, it's interesting to read one of the lates PR moves of
Microsoft on the topic of "interoperability":

  http://www.microsoft.com/interop/letters/choice.mspx

I clearly remember going to a conference on "Open Source in the
Business Sector" (or something like that) in 2005 and hearing the
head of Microsoft Italy claiming that Microsoft had always been on
the forefront of interoperability, since they had begun using XML
before anyone else.

The question why would a blob of 1s and 0s whose actual meaning is
kept secret become interoperable only because it's put between a couple
of XML tags wasn't well received.

On the same topic, I notice that people - including those who should
know better - continue to claim that Microsoft has been asked by the EC
to release Windows' "source code", which is not true.  Other PRs at
work?

Ciao,

andrea

On Mon, Apr 09, 2007 at 09:35:13AM +0200, Thiru Balasubramaniam wrote:
> <SNIP>
>
> The Commission last month accused Microsoft of demanding excessive
> royalties from licences.
>
> Microsoft wants up to 5.95 per cent of companies' server revenues as a
> licence fee.
>
> But the confidential statement of objections from the Commission in the
> long-running dispute makes clear that Microsoft will at best be allowed
> to levy a tiny fraction of the royalties it is demanding.
>
> According to calculations by the Commission's technical expert, Prof
> Neil Barrett, Microsoft's demands would mean that rivals could recoup
> their development costs after seven years.
>
> The Commission's expert, who was suggested for the post by Microsoft,
> goes on to calculate that even an average royalty rate of 1 per cent
> would be unacceptable for licensees. Prof Barrett states that a 0 per
> cent royaltywould be "better" and adds: "We can only conclude on this
> basis that the Microsoft-proposed royalties are prohibitively high and
> should be reduced in line with this analysis."
>
>
>
> -----------------------------------------
>
> Microsoft in EU Windows blow
>
> By Tobias Buck in Brussels
>
> Published: April 5 2007 03:00 | Last updated: April 5 2007 03:00
>
> Microsoft will be forced to hand over to rivals what the group claims
> is sensitive and valuable technical information about its Windows
> operating system for next to no compensation, according to a
> confidential document seen by the Financial Times.
>
> The group is required to license the technical information to competing
> groups under the terms of the European Commission's antitrust ruling
> issued three years ago. Brussels hopes the order will allow rivals to
> design server software that runs more smoothly with Windows.
>
> The Commission last month accused Microsoft of demanding excessive
> royalties from licences.
>
> Microsoft wants up to 5.95 per cent of companies' server revenues as a
> licence fee.
>
> But the confidential statement of objections from the Commission in the
> long-running dispute makes clear that Microsoft will at best be allowed
> to levy a tiny fraction of the royalties it is demanding.
>
> According to calculations by the Commission's technical expert, Prof
> Neil Barrett, Microsoft's demands would mean that rivals could recoup
> their development costs after seven years.
>
> The Commission's expert, who was suggested for the post by Microsoft,
> goes on to calculate that even an average royalty rate of 1 per cent
> would be unacceptable for licensees. Prof Barrett states that a 0 per
> cent royaltywould be "better" and adds: "We can only conclude on this
> basis that the Microsoft-proposed royalties are prohibitively high and
> should be reduced in line with this analysis."
>
> Three Microsoft rivals that have reviewed the group's pricing scheme
> extensively - understood to be IBM, Sun and Oracle - come to the same
> conclusion: "The prices charged by Microsoft are prohibitive and would
> not allow them to develop products that would be viable from a business
> perspective," the Commission charge sheet says.
>
> A spokesman for the US group said: "Microsoft will respond to the
> latest statement of objections in full by April 23. We believe we are
> in compliance with the March 2004 decision and that the terms on which
> we have made the protocols available are reasonable and
> non-discriminatory."
>
> The Commission declined to comment.
>
> ---------------------------------
> Thiru Balasubramaniam
> Geneva Representative
> Knowledge Ecology International (KEI)
> voice +41.22.791.6727
> fax +41.22.723.2988
> mobile +41 76 508 0997
> thiru@keionline.org
>
> _______________________________________________
> A2k mailing list
> A2k@lists.essential.org
> http://lists.essential.org/mailman/listinfo/a2k

--
Andrea Glorioso            Assistant Researcher, Politecnico di Torino
    Dipartimento di Automatica e Informatica, Internet Media Group
       Corso Duca degli Abruzzi, 24 - 10129 Torino (TO) - Italy
     T: +39-011-564-7036 M: +39-348-921-4379 F: +39-011-564-7099