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Antitrust: Percentage sends Declaration of Arguments to Ms on non-compliance with online browser option commitments

The Western Percentage has advised Ms of its initial perspective that Ms has did not comply with its responsibilities to offer customers a option display allowing them to easily select their preferred web online browser. Last year, the Percentage had created these responsibilities lawfully executed on Ms (see IP/09/1941). The sending of an argument of questions does not prejudge concluding of the investigation.
In its statement of questions, the Percentage takes the initial perspective that Ms has did not roll out the world wide web browser option display with its Microsoft windows seven Service Pack 1, which was released in Feb 2011. From Feb 2011 until July 2012, millions of Microsoft windows customers in the EU may not have seen the option display. Ms has acknowledged that the option display was not displayed during that period.

In December 2009, the Percentage had created lawfully executed on Ms responsibilities offered by the US software company to address competition concerns related to the tying of Windows web online browser, Internet Traveler, to its dominant client PC os Microsoft windows (see IP/09/1941, MEMO/09/558 and MEMO/09/559). Specifically, Ms committed to make available for five years (i.e. until 2014) in the Western Economic Area a "choice screen" allowing customers of Microsoft windows to select in an advised and unbiased manner which web browser(s) they wanted to install in addition to, or instead of, Windows web online browser. The option display was provided as of March 2010 to Western Microsoft windows customers who have Internet Traveler set as their default web online browser.

The Commission had opened proceedings to investigate the potential non-compliance with the browser choice commitments on 16 July 2012 (see IP/12/800).

Background on the commitments decision

In January 2009, the Commission sent Microsoft a Statement of Objections, outlining its preliminary view that the company abused its dominant position in the market for client PC operating systems through the tying of Internet Explorer to Windows (see MEMO/09/15). In order to address the Commission's concerns, Microsoft offered commitments, including the set-up of a "ballot screen" in the Windows PC operating system, from which consumers could easily choose their preferred internet browser (see MEMO/09/352). In October 2009, the Commission market tested an improved proposal from Microsoft (see MEMO/09/439).

In light of the reactions to the market test, the Commission concluded that the commitments would remedy its competition concerns and made the commitments legally binding on Microsoft in December 2009 (see IP/09/1941, MEMO/09/558 and MEMO/09/559), pursuant to Article 9 of the Antitrust Regulation No 1/2003.

More information about the browser choice commitment is available at: http://ec.europa.eu/competition/consumers/web_browsers_choice_en.html

Procedural background

A statement of objections is a formal step in Commission investigations. The Commission informs the parties concerned in writing of the objections raised against them and the parties can reply in writing and request an oral hearing to present comments.

The Commission takes a final decision only after the parties have exercised their rights of defence.

If a company has breached commitments made legally binding by way of an Article 9 decision, it may be fined up to 10% of its total annual turnover.

Source : Europa (EU)
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