Business

Judge accepts Microsoft antitrust settlement deal

A year after a settlement in the Microsoft (MSFT)antitrust case was reached between the U.S. government, nine states and the software giant, a federal judge accepted most of the deal.

U.S. District Judge Colleen Kollar-Kotelly's decision sets asides the concerns of nine other states that the deal was too easy on the company.

The company will have to reveal some of its technology to competitors several months earlier than Microsoft and the U.S. Justice Department had originally agreed.

"The court is satisfied that the parties have reached a settlement which comports with the public interest," Kollar-Kotelly wrote in her decision.

Under the verdict, Microsoft board members will have to form a corporate compliance committee to make sure the company follows the terms of the deal. That move eliminates the creation of a technical committee to assess Microsoft's adherence to the agreement.

Microsoft said it will review the judge's decision, which will cover a five-year period.

The judge's decision marks the latest step in a legal battle that has gone on for more than four years.

The case against Microsoft began in May 1998 when the U.S. Justice Department and 19 states charged that Microsoft had violated antitrust laws. They alleged the company tried to illegally protect its dominance in operating systems and unfairly competed in the Internet browser market.

In November of the 1999, U.S. District Judge Thomas Penfield Jackson found that Microsoft violated antitrust laws and ordered the company broken into two parts a decision that was subsequently reversed.

In October of last year, the company and the federal government ironed out a settlement to would require Microsoft to provide software developers with interfaces for its browser.

Other restrictions were designed to ensure that non-Microsoft server software could operate with Windows on a personal computer as Microsoft servers do. "This is important because it ensures that Microsoft cannot use its PC operating system monopoly to restrict competition among servers," the U.S. Department of Justice said when the settlement was announced last year.

Computer makers and consumers would also be free to substitute competing middleware software on Microsoft's operating system.

Microsoft would also be prohibited from entering into agreements requiring the exclusive support or development of Microsoft software.

Prior to Friday's verdict from Kollar-Kotelly, Microsoft has already started making changes to its business and products to comply with the settlement.