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Monday, September 17, 2007 - Page updated at 11:39 AM

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A chronology of the case

1998

December: The European Commission, the antitrust watchdog of the European Union, begins investigating complaints by Sun Microsystems accusing Microsoft of discriminatory licensing practices and refusing to give server makers critical information about Windows.

2000

February: The EC begins looking into whether Windows 2000 gives Microsoft an unfair advantage over competitors and allows it to extend its dominance on PCs to other markets, such as e-commerce.

May: The EC objects to Microsoft's plans to buy a 29.9 percent stake in Britain's Telewest Communications, saying it could lead to Microsoft domination of cable television. The concerns are unfounded: Microsoft spends $2.6 billion on the stock but sells it for $5 million in 2003.

August: The EC suggests Microsoft may be fined for squeezing competitors out of the server software market. While investigating the Sun complaint, the EC says it found Microsoft used its dominance to hurt rivals in the market.

2001

August: The EC expands its investigation to the Windows Media Player and whether the company unfairly uses its Windows dominance to take a bigger piece of the server market. At issue is whether Microsoft illegally bundles the media player with Windows and whether it illegally requires customers to use its own server software rather than rival products.

2003

March: EC experts conclude Microsoft has violated EU antitrust rules and recommends Microsoft be forced to share more proprietary information with rivals and that it uncouples the Windows Media Player from the operating system.

August.: EC says it has evidence Microsoft is still trying to monopolize new markets. Sanctions sought include a fine up to $3.2 billion and a requirement the company disclose more programming code to competitors.

November: The EU holds three days of closed-door hearings to hear both sides.

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2004

March: Despite direct participation by Microsoft CEO Steve Ballmer, last-minute settlement talks fail. The EC finds the company violated antitrust laws, fining Microsoft 497 million euros (about $612 million at the time) and ordering changes in its European business practices.

December: An EU court rejects Microsoft's request to suspend the sanctions until its appeal is heard.

2005

June: Microsoft launches Windows XP N, a version of the operating system sold in Europe without Media Player. It sells poorly. The EU raises concerns about usability of Microsoft's interoperability document.

October: Microsoft and Seattle's RealNetworks settle their long-running legal dispute in the U.S. involving the media-player business. It's not clear what impact that will have on the European case.

November: Acting on an adviser's report that technical information Microsoft has supplied is "fundamentally flawed," the EU says the company has not complied with its ruling and is charging too much in royalties.

December: The EU formally accuses Microsoft of not complying with the antitrust decision because it hasn't yet supplied "complete and accurate" interoperability information and threatens new fines.

2006

February: A group of Microsoft rivals issues new complaint to the EU over a wide range of antitrust issues, focusing on Microsoft's Office software.

March: The EU says it has sent Microsoft a letter detailing issues with Windows Vista, scheduled to be launched later in the year.

April: The European Court of First Instance, the EU's second-highest court, hears Microsoft's challenge to the antitrust order.

July: The EU decides Microsoft still isn't obeying the 2004 decision and fines it again — 280.5 million euros ($357 million at the time. It warns of more fines. Microsoft says the fine is unjustified and it will go to court to get it overturned.

2007

March: The EU threatens Microsoft with even more fines, accusing it of setting royalty fees too high for interoperability information. September: Court of First Instance rejects Microsoft's appeal of the March 2004 decision.

Source: Seattle Times news services

Copyright © 2007 The Seattle Times Company

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