CCIA PRESIDENT EXPLAINS THE IMPACT OF THE STATEMENT OF OBJECTION

Washington, DC- “Today’s announcement by the European Commission issuing a Statement of Objection to Microsoft regarding the company’s monopoly in the desktop operating system market and its related conduct in the server market, is one more official finding by a government body that Microsoft’s illegal conduct must stop.

“It is not surprising that the law enforcement officials of the EU find that consumers have been hurt by Microsoft’s global monopoly strategy. What is most significant is that the EU finding shows that Microsoft has not been deterred by the proceedings in the U.S. Indeed, they continue to abuse their monopoly power to dominate the server and the Internet browser markets. The EU has begun a process that will provide further opportunity to protect innovation and choice in key sectors of the high-technology industry.

CCIA is pleased that it’s White Paper – Windows 2000: Blueprint for Domination, which we earlier provided to the EC, may have helped provide some insight into Microsoft activities relating to the server and internet markets. Preserving a dynamic free marketplace is the essential role of the antitrust laws, and is key to the innovation and prosperity the U.S. has achieved.”

Background:

  • The Commission has determined that it will open formal proceedings there is a need to open formal anti-trust proceedings, the Statement of Objection against Microsoft launches that effort.
  • The Statement of Objection is not a public document but has been served upon Microsoft. Under the EU procedure, Microsoft has the right to request a hearing before the Commission, which would be set in a few months time. The hearing is not a courtroom trial and would be expected to last only a few days.
  • Under EU procedure, the Commission typically issues a decision and applicable remedies, within several months of such a hearing. If the decision were adverse to Microsoft, they would have a right of appeal within the European Court system.
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