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Technology Stocks : How high will Microsoft fly?
MSFT 404.20-2.2%3:59 PM EST

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To: Tom Kearney who wrote (3661)10/21/1997 12:13:00 PM
From: vinod Khurana  Read Replies (2) of 74651
 
Microsoft faces EC probe

Company may have pushed European
licensees to accept other software

October 21, 1997: 8:35 a.m. ET

Microsoft - a
special report

DOJ seeks
Microsoft fine -
Oct. 20, 1997

European Union

Microsoft




NEW YORK (CNNfn) - Microsoft Corp. may be
fighting a battle on both sides of the Atlantic as the
European Commission is conducting its own
investigation of the software company's practices.
On Monday, the U.S. Justice Department
charged Microsoft with ignoring an anti-competitive
preactices pact it reached with Justice in 1995.
U.S. Attorney General Janet Reno sought a
federal judge to impose a $1 million per day fine on
Microsoft for requiring PC manufacturers to bundle
Microsoft's Web browser, Internet Explorer, with
the Windows 95 operating system.
The European Commission has been investigating
contracts between Microsoft and European Internet
service providers, sources told Reuters.
Microsoft licenses software to those providers,
and the EC is looking into whether the company
pushed the ISP's to get licenses for other software as
well.
Windows is the dominant computer operating
system in the world, and regulators on both sides of
the Atlantic feel that Microsoft has been using its
strong position to force acceptance of its other
products.
Any conclusions from the EC probe are probably
months away, Reuters reported, adding that the EC
hadn't yet informed Microsoft of its charges, if any.
Approximately six months ago the EC issued a
"statement of objections" to Microsoft about its
licensing agreements after receiving a complaint.
Currently, about 12 investigations are under way
into Microsoft's practices.
-- From staff and wire reports

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