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You are here: MacNN Forums > Community > MacNN Lounge > The E.C. sees through Microsoft's "embrace & extend" model. Imposes heafty fine.

The E.C. sees through Microsoft's "embrace & extend" model. Imposes heafty fine.
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Clinically Insane
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Mar 1, 2007, 03:52 PM
 
EC threatens Microsoft with more fines - ZDNet UK

Too bad the D.O.J. can't get past the bribes to see this also.

Under the agreement Microsoft signed after the anti-trust case, they were supposed to provide a list of protocals, API documentation, and a pricing system for other companies to license the technology and make their products interoperable with Microsoft's products.

Microsoft agreed that the pricing system would be based on merit of innovation. So something that they invent from the ground up would be relatively expensive to license. Instead, the expert that Microsoft picked to review the papers not only said that the API documentation was next to worthless, but also that Microsoft really hasn't innovated anything!

The E.C. found that all that Microsoft did was take existing, open, and working protocals, change them slightly (not in any fashion that made it better) so it no longer works with anyone else, then charge for it. It's the first time a legal body has recognized Microsoft's classic "embrace and extend" routine, and now they're fining them for it.

"Microsoft has agreed that the main basis for pricing should be whether its protocols are innovative," said EU competition commissioner Neelie Kroes. "The Commission's current view is that there is no significant innovation in these protocols. I am therefore again obliged to take formal measures to ensure that Microsoft complies with its obligations."
Nelson's "Ha, ha!" would be appropriate.
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Mar 1, 2007, 03:54 PM
 
this is just one more step in Apple's domination of the computer world
     
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Mar 1, 2007, 03:55 PM
 
Whatever happened to the fines from last summer? Tied up in appeals?
     
Clinically Insane
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Mar 1, 2007, 04:00 PM
 
Originally Posted by Dakar² View Post
Whatever happened to the fines from last summer? Tied up in appeals?
No, they payed it.
"…I contend that we are both atheists. I just believe in one fewer god than
you do. When you understand why you dismiss all the other possible gods,
you will understand why I dismiss yours." - Stephen F. Roberts
     
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Mar 1, 2007, 04:40 PM
 
One would think that they had learned their lesson.
     
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Mar 1, 2007, 04:53 PM
 
Originally Posted by Jawbone54 View Post
One would think that they had learned their lesson.
Microsoft?

V
I could take Sean Connery in a fight... I could definitely take him.
     
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Mar 1, 2007, 04:57 PM
 
Originally Posted by voodoo View Post
Microsoft?

V
Well, they're usually just SO quick to catch on!

Look at how popular the Zune has already become, for instance. They saw what the market wanted...and they delivered it. Now people are just gobbling it up.








     
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Mar 1, 2007, 08:51 PM
 
Originally Posted by brassplayersrock View Post
this is just one more step in Apple's domination of the computer world
To be honest, I don't want that either. Could you imagine an industry dominated by Steve Jobs and co.? Ugh, not a pretty sight. Apple is nothing without challenge (this is a universal principle. It applies to everyone!) I want to see a truly innovative and varied marketplace, where honest competition takes place.

Originally Posted by Jawbone54 View Post
One would think that they had learned their lesson.
Why? It's paid off so far. Those fines are nothing compared to the gain they've received from playing it like they have.
     
Clinically Insane
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Mar 2, 2007, 11:19 AM
 
Originally Posted by Jawbone54 View Post
One would think that they had learned their lesson.
They've learned their lesson very well. It's cheaper and more profitable for them to break the law and pay a fine than to actually obey the law and change their business model. The E.C. can impose all the fines they want, it doesn't change anything if Microsoft is the only player.
"…I contend that we are both atheists. I just believe in one fewer god than
you do. When you understand why you dismiss all the other possible gods,
you will understand why I dismiss yours." - Stephen F. Roberts
     
   
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