Judge largely approves Microsoft antitrust settlement

US District Judge Colleen Kollar-Kotelly found that the settlement "comports with the public interest" and dismissed most of the arguments of the nine US states that refused to sign the settlement last year. She required, however, that Microsoft accelerates its timetable for the release of code enabling other software developers to write programmes compatible with the Windows operating system.

Under the terms of the settlement, Microsoft is still allowed to tie software such as web browser, e-mail client and media player with Windows. However, it is not allowed to enter into exclusive agreements or retaliate against computer manufacturers using rival software products.

The company is also obliged to license its software to manufacturers on uniform terms for five years, and to allow both manufacturers and consumers to remove icons for Windows features and to create programs utilising the integrated Windows functions.

The decision specifically requires Microsoft to ensure that rival browsers can interoperate with Windows in the same way that its own servers do.

Finally, the settlement provides for a panel of three independent auditors, which will have access to the company's records, books and systems for five years. If Microsoft is found to violate the settlement, the court may extent that period for another two years.

Microsoft characterised the decision as a "tough but fair compromise". The company said in a statement: "We recognise that we will be closely scrutinised by the government and our competitors and we will... ensure that we meet our responsibilities."

Microsoft still faces possible sanctions from the EU over alleged abuse of its dominant market position, and the Competition Commissioner Mario Monti is expected to issue a preliminary decision before the end of the year.

The decision on Microsoft's settlement agreement is available as a 14-page PDF from:
www.dcd.uscourts.gov/FinalDecree.pdf