Microsoft attempts to settle with Commission

Microsoft has attempted to settle its long-running competition case with the European Commission by proposing that rival companies…

Microsoft has attempted to settle its long-running competition case with the European Commission by proposing that rival companies' products be included on CD-ROMs supplied with personal computers.

But so far the Commission, the regulatory arm of the European Union, has indicated that the proposal - a centrepiece of Microsoft's push to resolve the case - is not enough.

Microsoft's rivals also believe the suggestion fails to meet their concerns, arguing that the pick-up rate for software provided on such CD-ROMs is extremely low.

The Commission has reached a preliminary decision that Microsoft has broken European law by choking out competitors and intends to give a final ruling before May.

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The most intractable part of the case concerns Microsoft's Media Player, which the Commission alleges is unfairly bundled with the Windows operating system, limiting demand for rival products.

Microsoft says the program is an integral part of the operating system and meets consumer demand for more functions.

In formal charges filed last August, the European Commission called for Microsoft to detach Media Player from Windows or, alternatively, include a limited number of rival products on its operating system.