Sometimes regulators can seem a bit like gophers. A company or industry may think it has fully resolved an issue with one agency, but then another body can pop up with different demands. Microsoft’s nine-year battle with European Union competition officials over its Windows near-monopoly is a case in point.
The software giant has spent years cultivating its home regulator, eventually convincing the US Department of Justice to settle its antitrust case on terms very favourable to Microsoft. But Microsoft’s charms have had much less impact in Europe, where the European Court of First Instance upheld a record €497m fine this week. The ruling this week drew catcalls from the DoJ, which said it could harm consumers “by chilling innovation”. The reaction underlined the growing split between President George W. Bush’s administration, which emphasises the fostering of new technology, and the EU, which sees more need to curb dominant players.
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