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Red Hat and EU Respond to Microsoft's Interoperability Announcement

by , 12:55 PM EST, February 22nd, 2008

Microsoft has made an announcement about future standards support, but Red Hat, in a response posted Thursday, would like to see Microsoft instead make a concrete announcement in support of existing ISO-approved, cross-platform standards next week in Geneva. Meanwhile, the European Union said they will monitor whether the principles announced by Microsoft are, in fact, implemented.

In its response, Red Hat Executive Vice President and General Counsel Michael Cunningham said, "Red Hat regards this most recent announcement with a healthy dose of skepticism. Three commitments by Microsoft would show that it really means what it is announcing today:

"Commit to open standards: Rather than pushing forward its proprietary, Windows-based formats for document processing, OOXML, Microsoft should embrace the existing ISO-approved, cross-platform industry standard for document processing, Open Document Format (ODF) at the International Standards Organization’s meeting next week in Geneva. Microsoft, please demonstrate implementation of an existing international open standard now rather than make press announcements about intentions of future standards support.

"Commit to interoperability with open source: Instead of offering a patent license for its protocol information on the basis of licensing arrangements it knows are incompatible with the GPL – the world’s most widely used open source software license – Microsoft should extend its Open Specification Promise to all of the interoperability information that it is announcing today will be made available. The Open Specification Promise already covers many Microsoft products that do not have monopoly market positions. If Microsoft were truly committed to fostering openness and preventing customer lock-in, it would extend this promise to the protocol and interface information it intends to disclose today. There is no explanation for refusing to extend the Open Specification Promise to “high-volume” products, other than a continued intention on Microsoft’s part to lock customers into its monopoly products, and lock out competitors through patent threats.

"Commit to competition on a level playing field: Microsoft’s announcement today appears carefully crafted to foreclose competition from the open source community. How else can you explain a “promise not to sue open source developers” as long as they develop and distribute only*/ “non-commercial” implementations of interoperable products? This is simply disingenuous. The only hope for reintroducing competition to the monopoly markets Microsoft now controls – Windows, Office, etc. – is through commercial distributions of competitive open source software products."

The European Union also responded on Thursday to the Microsoft announcement and said, in part, "the Commission notes that today's announcement follows at least four similar statements by Microsoft in the past on the importance of interoperability.... In the course of its ongoing interoperability investigation, the Commission will therefore verify whether Microsoft is complying with EU antitrust rules, whether the principles announced today would end any infringement were they implemented in practice, and whether or not the principles announced today are in fact implemented in practice."

Observer Comments

Show: Subjects Only | Full Comments
Close Name:vasic Posts: 215 Joined: 09 Aug 2005
Subject: In other words,

Nobody believes you anymore, Microsoft. Until something concrete happens, this is all just hot air.

Let us watch what happens.

Close Name:subcan Posts: 1 Joined: 22 Feb 2008
Subject: Microsoft - - A Monopoly????

I find it really hard to believe that there are so many people out there that truely believe that Microsoft controls their company by a monopoly model.
yes they do have the largest market share, but that does not mean that they own the market. Microsoft works hard to bring new, better products to the marketplace everyday. This is what causes people to continue to purchase their products.
I have messed around with Linux. This si a wonderful product, but they cannot get their drivers down and in turn the product does not work on all laptops. When the day comes that they cross this hurdle you better believe that there will come a bigger cost to running the "good" linux programs. There already is. Google linux software and see how many of the "good" programs cost money. Many cost a lot/ comparable to MS. What does this say about their open source policies, but I bet they have the biggest flag protesting MS. This is to their benifit... think of all the money they can make... one day we will be bigger than MS... hehehe...
Look a Apple. You want a real monopoly model. Here is one. They control absolutely everything about everything that goes on with regards to Apple, right down to who bulds their hardware. Do you see any apple clone computers? Everything costs more here.
I am by no means a MS teammate. I think that they suck just as much as the next guy, but I do use their products. MS Office is great. (Most Mac people have this software too) They do have a lot of free software too. Their Virtual Web Developer ranks up there with Dreamweaver and is free. Of course that is because they are trying to push ASP.NET so there is always a reason. That is the same for every other software developer. Everyone wants to be rich so that they don't have to fight day by day, but can further pursue their dreams whatever those might be.
I cannot wait for MS's overall greed to cause their ultimate demise. I cannot wait for Linux to overtake the market. We are not there yet. If MS gives up their 'trade secrets' and opens their code, they might lose a couple of dollars but in the end they will hold that market share for a long long time. It would be a win win. Then it would be up to Apple to do the same and this world could really move forward one big step.
on another note... the only reason that the EU is against microsoft is because Europeans are tired of supporting the Americans. They want to bring in their own OS and control another piece of the pie.

Well that is my opinion.

Subcan

View Name:Guest
Subject: Subcan
Close Name:brett_x Posts: 307 Joined: 24 Jan 2006
Subject:

Subcan- I almost think you're trolling, but.. I'm betting not. I think you're just a bit too optimistic about MS's capabilities. Go read this article from December 2006, apply the knowledge of today (what has failed since then- MS Live Search, XBox360 losing billions each year, the miserable failure of Vista, etc.) and I think you'll start to see how innovative they are as a company. http://online.wsj.com/public/article/SB116490323676636989-HnHPKLzkyy9xKy2wnokbd2bc_bE_20071130.html?mod=blogs

Close Name:vasic Posts: 215 Joined: 09 Aug 2005
Subject: Several incorrect premises here

The second poster (subcan) seems to be confusing the concept of proprietary software/hardware with monopoly. Microsoft and Apple are two companies that build and sell software and hardware that is engineered using proprietary solutions, which are their respective corporate secrets. Linux is built on open-source philosophy, where everyone can look at the blueprints of it.

Being a monopoly power in any industry or business is not against the law (at least not in the USA). Monopoly is a situation where certain market is dominated by only one company. Monopoly is defined by a lack of competition; it also happens when one single company commands market share that is significantly larger than what it would have attained, had there been conditions for a reasonable competition. While having monopoly status is not illegal, most common consequences are the abuse of the monopoly status in order to prevent competitors from entering the market space. This is exactly where MS differs from Apple. This is why Microsoft is deemed a monopoly, and an abusive one too (according to the US and EU courts), and why Apple, with all the proprietary technology they use, will never be deemed a monopoly.

One could argue that Apple is dangerously close to a monopoly status, and its consequent abuse, with its iTunes/iPod market dominance; however, Apple has never made any agreements with any of its partners that would prevent those partners from entering a relationship with Apple's competitors. In fact, Apple dominates with iTunes despite its partners; record labels are fighting hard to make better deals with Apple's competitors, in order to weaken Apple's dominance. Apple clearly does not have monopolistic power to prevent them from doing that.

While Linux (the operating system) is an open-source initiative, the team that develops it doesn't control the third-party software developed for it. In the free market, any enterpreneur can choose to develop for any platform and charge as much money as they think their work is worth. Good pieces of software have value and will always cost money, regardless of platform they were written for. This has nothing to do with monopoly, open source or proprietary architectures.

Close Name:Sir Harry Flashman Posts: 580 Joined: 08 Feb 2007
Subject:

Quote
subcan wrote:
I find it really hard to believe that there are so many people out there that truely believe that Microsoft controls their company by a monopoly model.
yes they do have the largest market share, but that does not mean that they own the market. Microsoft works hard to bring new, better products to the marketplace everyday. This is what causes people to continue to purchase their products.


Maybe "monopoly" is not quite correct the word to describe what is MicroSoft, but have they not been found guilty of monopolistic practices?

People continue to buy MicroSoft products for a number of reasons, inertia being one of them and perhaps the Stockholm Syndrome is another.

As to them working daily to bring better products to the marketplace. Well they have no choice, better is the only direction to go when you are starting from worse.

Close Name:Terrin Posts: 350 Joined: 29 Jan 2006
Subject:

Quote
subcan wrote:
I find it really hard to believe that there are so many people out there that truely believe that Microsoft controls their company by a monopoly model.


It really isn't that hard to beleive. The US government and the European Union both have found Microsoft guilty of illegaly monopoly behaviour. By the way, it is not illegal to be a monopoly. It is how you compete with others once you achieve that status that counts. Microsoft is unquestionably a monopoly in the areas of operating systems and its Office Suite (that is not an opinion, but the view of the US and European governments). In my view, it maintains it dominance with its Office Suite by having proprietary document formats. Companies have to reverse engineer Office document formats to gain cross application compatibility. This prevents competitors from being able to have full compatibility with Word.

Quote

yes they do have the largest market share, but that does not mean that they own the market. Microsoft works hard to bring new, better products to the marketplace everyday. This is what causes people to continue to purchase their products.


That seems to be a optimistic view in which disregards Microsoft's history. Most people that I know who use Windows and Office use it because it is what ever one else they know use. In turn, those people use it because that is what is used at work. They also use it because when they go to a store that is what they see filling up the computer isles. There is also more flexibility in terms of cost. I really doubt most people go out and compare alternatives and make an informed choice.

Quote
I have messed around with Linux. This si a wonderful product, but they cannot get their drivers down and in turn the product does not work on all laptops. When the day comes that they cross this hurdle you better believe that there will come a bigger cost to running the "good" linux programs. There already is. Google linux software and see how many of the "good" programs cost money. Many cost a lot/ comparable to MS. What does this say about their open source policies, but I bet they have the biggest flag protesting MS. This is to their benifit... think of all the money they can make... one day we will be bigger than MS... hehehe...


Sure, they want to compete with Microsoft. It, however, is hard to compete even if your product is better if you can't offer people a way to take all their documents with them over to a new platform. I have thousands of documents in Microsoft's various Office formats. I can't switch to another platform if I can't take my documents with me. Many competing products work great, however, document compatibility is not reliable enough for business use. People give Apple such a hard time about Fair-play (something the labels force Apple to use), however, Microsoft's actions are much more egregious because it doesn't allow me to free my documents and take them with me to a new software platform.

Quote
Look a Apple. You want a real monopoly model. Here is one. They control absolutely everything about everything that goes on with regards to Apple, right down to who bulds their hardware. Do you see any apple clone computers? Everything costs more here.


I do not think you understand Apple's business model. Apple is not competing with Microsoft directly. It is a hardware company. It is competing with companies like Dell. It, however, uses software to differentiate its hardware. Accordingly, it wouldn't make much sense to license its OS to other companies because it makes very little money off software. It wants to sell hardware. Apple clearly is not a monopoly in the computer hardware market because Dell and HP are much bigger companies. Consumers clearly have a choice in which computers to use. Moreover, everything does not cost more in Apple land. There are three general computer markets: low end, middle of the road, and high end. Apple doesn't compete in the low end market. The Mac Pro is cheaper then comparable alternatives from companies like Dell. The Mac Book Pro and Mac Books are also very cost competitive in the middle of the road and high end markets they compete in.

Quote
I am by no means a MS teammate. I think that they suck just as much as the next guy, but I do use their products. MS Office is great. (Most Mac people have this software too) They do have a lot of free software too. Their Virtual Web Developer ranks up there with Dreamweaver and is free. Of course that is because they are trying to push ASP.NET so there is always a reason. That is the same for every other software developer. Everyone wants to be rich so that they don't have to fight day by day, but can further pursue their dreams whatever those might be.



Microsoft Office great? I use it and do not mind it. I even think Microsoft did a good job updating Office 2008. However, since Microsoft has a lock on the productivity suite market, I doubt many companies are pouring big dollars into coming out with something much better. Why bother? Most people like me couldn't switch even if we wanted to. I work in the business world, and I need compatibility with other business people. They all use Office. However, you do touch on how Microsoft has used its monopoly power illegally. Most companies cannot afford to give away free things. Microsoft can though because it has guaranteed money coming from other markets where it holds a monopoly. So Microsoft can act in anticompetitive manner by using its money gained from its monopoly to give away a product that a competitor is selling. Most competitors cannot compete with free.

Quote
on another note... the only reason that the EU is against microsoft is because Europeans are tired of supporting the Americans. They want to bring in their own OS and control another piece of the pie.


Not really. European governments are much less beholden to lobbyists then here in the US. They often have a much more common sense point of view (well a lot of the time anyway). They have the same grievance I do. They want to be able to use their documents in any software package they please. They don't want a company like Microsoft to be able to hold them hostage by controlling the document format and being able to charge whatever it pleases. it essentially is the same argument levied against Apple's Fairplay.

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