Transfer Pricing Associates

Microsoft Appeals against EU $1.3 Billion Antitrust Fine

post Wednesday September 21, 2011

Tags: microsoft; eu; antitrust

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May 24, 2011—Microsoft filed appeals against the $1.3 billion, or 899 million euro antitrust fine.

Microsoft, the computer software giant, was first sued by European Commission in 2004 for fine of 497 million euro for abusing its dominant position to prevent market competition. Then in 2008, European Commission issued another fine to Microsoft stating the company still didn’t allow other computer software to work in the Microsoft system.

Microsoft called the EU’s 2008 fine “excessive and undeserved,” The 2008 fine issued by EU was $1.3 billion, or 899 million euro. In 2009, Microsoft reached an agreement with EU stating that the company will allow users to choose their browse when using its Windows operating system.

But recently, Microsoft decided to file an appeal to against the antitrust fine. "This case would not have arisen if the Commission had been as explicit with respect to rates which it wanted Microsoft to charge as it had been with all other terms of licensing proposed by Microsoft," said Jean Francois Bellis, Microsoft's lawyer.

The computing Technology Industry Association and the Association for Competitive Technology support Microsoft position in this case. 

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