Teresa Heier
Kaplan University
MT 460-02
Professor Lisa Epstein
September 28, 2009
Executive Summary The main problem that Microsoft is having in Europe is with the antitrust ruling. As stated in the case “The immediate issue before the court is whether to uphold the European Commission’s landmark 2004 antitrust decision against Microsoft or to side with Microsoft in its appeal.” (Pearce-Robinson, 8-1) The two main issues that the case is about is Microsoft tying their media player in with the operating system and not willing to release their full specifications of their networking protocol. The EU Courts impose a remedy for Microsoft to release a copy of their operating system XP that did not include a media player. “The remedies have been... less than successful. Windows XP N (with no media player) never exactly flew off the shelves, and the networking protocol documentation still remains incomplete more than three years later (though it did reach a usable state late last year).” (Anderson, 2007)
Background
The whole issue between Microsoft and the Europe Court of First Instance first started in early 2004. The EU Courts did in fact determine that Microsoft has abused their position in the European market of technology. The Courts then imposed a $688 million fine against Microsoft for their violations. (Anderson, 2007) Microsoft did file an appeal but the European Commission did uphold the large fine imposed on the company.
Strategic Analysis Microsoft states their mission and value from their website as As a company, and as individuals, we value integrity, honesty, openness, personal excellence, constructive self-criticism, continual self-improvement, and mutual respect. We are committed to our customers and partners and have a passion for technology. We take on big challenges, and pride ourselves on seeing them through. We hold ourselves accountable to our customers, shareholders, partners, and
References: Pearce, J.A. & Robinson Jr. R. B. (2007). Strategic Management. 11th ed. New York, NY: McGraw-Hill Irwin Anderson, Nate. (2007). EU court comes down hard on Microsoft in antitrust appeal. Retrieved on September 29, 2009 from” http://arstechnica.com/tech-policy/news/2007/09/microsoft-loses-appeal-in-europe.ars Microsoft (2009). Microsoft-About Microsoft Home. Retrieved from http://www.microsoft.com/about/default.mspx#values