The Bush administration has protested South Korea’s
decision to fine Microsoft almost £20m for acting in an
uncompetitive way in the country.
“Korea’s remedy goes beyond what is necessary or appropriate to
protect consumers, as it requires the removal of products that
consumers may prefer,” said J Bruce McDonald, deputy assistant
attorney general at the US Department of Justice’s anti-trust
division.
The Korea Fair Trade Commission has ruled that Microsoft
violated South Korean law by bundling its Windows Media Service
with the Windows Server operating system.
In addition, it said Microsoft was wrong to bundle its media
player and instant-messaging program with Windows. The European
Commission fined Microsoft a much larger amount for bundling its
media player with Windows in the European market, as part of a
wider anti-trust case.
The KFTC said the bundling in both cases prevented rivals
getting a grip in the South Korean market, and in the case of
instant messaging, Korean ISPs like Daum were unable to
compete.
As a result of the ruling, in addition to the fine, Microsoft
will be forced to facilitate downloads of rival software and to
stop selling its server software bundled with Windows Media
Services.
Microsoft said the ruling did not match South Korean law and
that it would appeal the decision. It is still appealing against
the European Commission ruling.