Microsoft has finally yielded to the verdict of the European Court of First Instance in Luxembourg and agreed to pay its fine and share code. That doesn’t sound like Microsoft does it? MS could end up paying fines of over $ 2.5 billion so that might be a motivator. And while they must share code, they can charge for it. At issue then is whether the sharing of the code will make much difference, and perhaps it won’t. Much of the code has been reverse engineered (eg Samba networking protocols) and much of the software now has equal or better substitutes. Maybe MS has given up because they are realising that to build other businesses, like entertainment, they will need cordial engagement with regulators. Their shares rose on the news, but I think it’s a sign that they themselves have realised that they are on the back foot and need to rebuild their business model. Let’s see.
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