EU Continues Anti-Trust Case Against Microsoft

It seems as though the European Union (EU) is not happy with Windows 7 E although Microsoft went out of their way to produce an SKU specifically for that region as they have announced that they plan to continue the anti-trust case, saying that Windows 7 E does not provide a “genuine consumer choice.” The EU has been harassing Microsoft for years, even leading Microsoft to cancel a hearing and have to deal with anti-trust regulators. This is why the software giant chose to release Windows 7 E, which is basically Windows 7 without Internet Explorer (IE), and then offer the ability to add or remove components of the operating system after install, attempts to appease the EU and its competitors.

Microsoft’s choice to release Windows 7 E came not long before the ruling on the case of anti-trust charges against Microsoft, which accuse the software giant of abusing its position as the dominant software company by including IE with its operating system, and as such, shielding IE from competiting products. Ever since the charges were first brought against Microsoft, the Redmond giant has insisted that IE is the basis of all internet in Windows and that removing IE simply isn’t possible while maintaining system integrity. And now that Microsoft has invalidated earlier statements, it hopes that by removing IE from Windows 7 will allow it to avoid the anti-trust ruling that it very well may receive. However, it appears that the EU is not buying it:

The European Commission notes with interest Microsoft’s announcement of its plans for Windows 7, and in particular of the apparent separation of Internet Explorer (IE) from Windows in the EEA. The Commission will shortly decide in the pending browser tying antitrust case whether or not Microsoft’s conduct from 1996 to date has been abusive and, if so, what remedy would be necessary to create genuine consumer choice and address the anticompetitive effects of Microsoft’s long-standing conduct. In terms of potential remedies if the Commission were to find that Microsoft had committed an abuse, the Commission has suggested that consumers should be offered a choice of browser, not that Windows should be supplied without a browser at all.

The EU has basically decided that simply removing the browser is the wrong path to take, stating that “Microsoft has apparently decided to supply retail consumers with a version of Windows without a web browser at all. Rather than more choice, Microsoft seems to have chosen to provide less.” Microsoft has done this before when it released Windows without Windows Media Player (WMP), but it easily skirted around those restrictions by also offering the standard version of Windows that included WMP, which was much more popular than the alternative. But now Microsoft recognizes that it will not get by with such a tactic again as it now insists that it will not provide a version of Windows with IE in Europe.

Even the third party browsers have something to say, as shown in an email to Ars Technica by Opera in which they explain their views on Microsoft:

We note with interest that Microsoft now seems capable of separating IE from Windows. However, we do not believe that Microsoft’s move will restore competition for desktop browsers. Most users get their operating systems from the OEM channel and Microsoft will recommend that OEMs pre-install IE8. As such, users are unlikely to be given a genuine choice of browsers. We believe that the idea of a “ballot screen” is better: when going online, users will be asked which browser(s) they prefer to use. The browser(s) of choice will the painlessly be installed and ready for use.

At the moment, the EU is still deciding whether or not the bundling of IE has been abusive, and if so, what punishments they should apply. It’s quite possible (and likely) that the EU will force Microsoft to bundle competing browsers with Windows in order to offer a fair choice. It will be interesting to see whether or not similar charges are brought against other suppliers such as Apple, who have included Safari with their Mac OS X.