Introduction
Microsoft Corp. cases in Europe have been influential in determining the outlines of the functional liability standards for dominant firms in European Commission law. The European lawsuit against Microsoft Corp. addresses two claims; first, inter-operability of windows operating system with the competitors and second, bundling or tying of windows media player in the sale of windows operating system. The European anti-trust authorities have challenged the bundled functionalities of the Windows operating systems. The complainant was Sun Microsystem Inc. is present in all European countries.
The procedure
On December 10, 1998, the Sun Company made an application to the European Commission under the law in Article 3 of Regulation number 17 for the instigation of proceedings against Microsoft Corp. Sun Company alleged that Microsoft Corp. experienced a dominant position in the market as the sole supplier of a specific software called windows operating systems for personal computers. Furthermore, Sun challenged that a particular software product for a network computing operating system known as the workgroup server required to work along with Microsoft’s Windows operating system. As in line with the Sun Company, the pulling out of inter-operability information is essential to compete as a supplier of the workgroup server operating system feasibly.
The claim of systems inter-operability
The case began pursuant and was registered. After the first study of the complaint, the European Commission sent a statement of objection to Microsoft Corp. to give them a chance to comment on initial discoveries of laws and facts on August 1, 2000
The claim of tying windows media player
In February 2000, the European Commission had temporarily propelled an investigation on the conduct of Microsoft on its initiative. The investigation focused more on workgroup server operating systems, Windows 2000 generation for personal computers, and Windows Media Player, which is Microsoft’s product. This investigation led to the generation of another statement of objection to Microsoft.
Allegations
Microsoft monopolized the market for operating systems and anti-competitively bundled its internet browser with windows media player. It also advanced the server software raising the extent to which the server can interact with the software. Through increasing the level of interaction of servers with its software, Microsoft has enabled groups of minor servers to advance to the capacity of mainframe computers by integrating workgroup servers. Moreover, Microsoft had anti-competitive contracts with vendors such as internet providers and computer manufacturers. The European Commission has termed the actions by Microsoft problematic. Integrating servers by Microsoft raised issues on the role of anti-trust in attaining interoperability based on the views of the European Commission. (Ahlborn & David, 2009)
Cause of action on the Microsoft Corp. upper management
The Microsoft upper management should identify the anti-competition law that the anti-trust solution is trying to address. It can be that the courts and competition authorities expound different solution strategies for analogous facts or precisely similar patterns; this is because the anti-competition law issues that were outlined as the basis of consumer harm in the phase of liability of the decisions differ. The upper management should encourage the consumer to be focus on competition law enforcers.
Recommendations on the Microsoft Corp upper management
Microsoft management should handle the anti-trust issue by controlling competition litigation. The competition litigation can be handled by Microsoft complying with the European Commission’s decision to disclose accurate and complete interface documentation, which can allow Sun Company’s workplace servers to operate together with windows personal computers and servers.
The management should reach into an agreement with the European Commission and agree to eliminate the bundling of windows media player from windows operating systems or suggest a competing media player be integrated into the windows operating system. The management should ensure that Microsoft Corp does not ban other computer manufacturers from integrating competitive software programs, installing boot procedures that deter the user from Microsoft product, and altering desktop short cut layout and icons.
The management should ensure the corporation doesn’t enter into a contract with internet access providers, internet content providers, and independent software vendors who use products competitively to Microsoft’s products. The management should ensure the provision of information on how the windows operating system interoperates with any middleware to the independent software vendors. The sharing of the information guarantees that Microsoft Corp will be prohibited from indulging in anti-competitive actions in the future.
The management should not prohibit computer vendors and manufacturers from including software programs that alter desktop shortcut layout and icon and installing boot procedures that dissuade users away from Microsoft products. Lastly, the management should invent a platform that allows the end-user to eliminate any Microsoft middleware products such as internet explorer by the use of remove or add program function. This enables the user to untie the internet explorer from the Windows operating system.
Conclusion
Anti-trust regulators in the European Union fought a prolonged battle with Microsoft Corp. that led to two diverse uncertain outcomes. The regulators hope that the allegation solutions led to more innovation, benefits to consumers, and competitiveness to other vendors. The European Union’s method of improving the position of competitors may deteriorate the corporate giant. The signs of progress and quality of Microsoft products show it will remain dominant across the European region. The standard setting in the European Commission is slow. It can result in accelerated innovation in some Microsoft products such as the operating system and also result from retarding innovation in the internet explorer.
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