Microsoft Agrees to Play Nice
Grant Gross, IDG News Service

http://news.yahoo.com/s/pcworld/20060719/tc_pcworld/126476

WASHINGTON-- Microsoft will commit to following the principles of its 
2002 antitrust settlement with the U.S. government beyond its end in 
late 2007, and in some cases, the company will expand upon those 
requirements, a Microsoft executive said Wednesday.

Microsoft has a responsibility to encourage both innovation and 
competition in the IT industry, said Brad Smith, Microsoft's senior vice 
president and general counsel, during a speech in Washington, D.C. The 
company will expand the operating-system antitrust settlement by 
releasing all of its software APIs (application programming interfaces), 
for programs such as Microsoft Office, and not just middleware APIs as 
required in the November 2002 settlement in U.S. District Court for the 
District of Columbia.

Microsoft decided to release the principles now to generate discussion 
among regulators and competitors before the scheduled release of the 
Windows Vista operating system in early 2007, Smith said. Microsoft has 
learned several lessons from the U.S. and European antitrust cases, he 
said, including that an operating system matters less to consumers than 
the applications that run on top of it.
More Flex for OEMs

Microsoft will also commit to allow OEMs (original equipment 
manufacturers) to remove any Microsoft products when shipping a PC with 
the Windows operating system, not just remove "middleware" that's 
tightly integrated with Windows such as Internet Explorer or Windows 
Media Player, Smith said. Microsoft will commit to allowing OEMs to 
switch defaults for applications or remove Microsoft's products entirely 
from Windows, he said.

Smith's policy announcement comes a week after the
European Commission fined Microsoft $357 million for failing to comply 
with the terms of a March 2004 antitrust settlement. In May the U.S.
Department of Justice asked a judge to extend parts of the U.S. 
antitrust settlement dealing with technical documentation requirements 
until late 2009 or beyond.

Even though some antitrust issues remain, that won't stop Microsoft from 
moving forward with commitments to uphold principles of competition, 
Smith said. "The U.S. antitrust ruling recognized that competition at 
all levels should be encouraged," he said.
List of 'Windows Principles'

Microsoft's 12 new "Windows principles" will ensure choice for computer 
manufacturers and customers and will guarantee that software developers 
will be able to create applications that run on top of Windows, Smith 
said. "Ultimately, users are in control of their PCs," Smith said. 
"Users get to decide what runs on their PCs when they take them home."

As part of the principles, the company will make four new commitments 
that weren't part of the antitrust settlement:

-- To design its Windows Live suite of Internet services separate from 
Windows, so that customers can choose the Windows operating system with 
or without Windows Live.

-- To open up most of its operating system patents to license to other 
developers. The only OS patents Microsoft won't license are ones on the 
appearance of Windows.

-- To be "more energetic" in its support of industry standards with the 
goal of creating interoperable products.

-- To design and license Windows in a way that allows customers to go to 
any lawful Web site or use any competing application or Web service.

The fourth new principle echoes Microsoft's support of a net neutrality 
law now being debated in Congress.


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