The European Commission on Thursday threatened to hit Microsoft with a 2 million euro daily fine for refusing to open Windows to third parties. Microsoft criticized the announcement by saying the EU doesn't understand the difference between opening source code and APIs.
In March 2004, the EU ordered that Microsoft give competitors access to certain Windows networking protocols, which "would allow non-Microsoft work group servers to achieve full interoperability with Windows PCs and servers." The demand was in addition to a 497 million-euro fine and a requirement that Microsoft strip Media Player from Windows XP.
The Redmond company has fought the request from the start, saying any public release of its source code has "far-reaching implications for the protection of our intellectual property rights around the world." Microsoft appealed the ruling in August and asked for support from other tech companies in November.
But last December, the European Court of First Instance rejected an appeal to suspend all of the antitrust sanctions, saying Microsoft faced a daily fine if it did not comply by December 15, 2005. Since then, a Monitoring Trustee has been tracking the company's progress.
"I have given Microsoft every opportunity to comply with its obligations. However, I have been left with no alternative other than to proceed via the formal route to ensure Microsoft's compliance," EU Competition Commissioner Neelie Kroes said in a statement.
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