A record fine imposed on Microsoft in Europe last month arose from the longstanding nature of the software company"s anticompetitive practices, according to a massive report from European regulators.
The European Commission"s 300-page document says the more than five-year duration of those practices pushed the fine to 497 million euros--now about $590 million--well above what Microsoft would have been charged simply on the basis of its business practices. "The amount of the fine to be imposed on the basis of the gravity of the infringement should therefore be increased by 50% to take account of its duration. On that basis, the base amount of the fine is EUR 497,196,304," the document says.
The report is a full account of the investigation by the European Commission, the executive arm of the 15-nation European Union, into the way Microsoft sells software, and had been expected, since regulators announced their decision in March. That ruling found that the Redmond, Wash., company had failed to give rivals information that they needed to compete fairly in the market for server software and that it had been offering the Windows operating system on the condition that it come bundled with Windows Media Player, stifling competition.