Two S. Korean firms lose Microsoft suit | Shanghai Daily

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Two S. Korean firms lose Microsoft suit

A South Korean court yesterday rejected compensation claims filed by two software companies against Microsoft Corp.

Digito.com and Sanview Technology Inc had alleged that Microsoft's bundling of its instant messenger and Windows Media Services programs with its operating system had caused them monetary damage.

The Seoul District Court, however, rejected the claims, citing lack of proof. Seoul-based Digito.com had sought 30 billion won (US$23.9 million) in damages, while Sanview Technology, which has offices in Seoul and California, had sought 10 billion won.

In its decision, the court ruled that though the bundling violated South Korea's fair trade rules, the two companies couldn't blame Microsoft for their losses.

The court said that Sanview Technology's products "lacked price competitiveness, after-service and quality."

Regarding Digito.com, the court said there was insufficient evidence that Microsoft's actions caused its "failure in the market."

Sanview Technology official Joung Young-bum said his firm plans to appeal the ruling. Digito.com had no immediate comment.

Redmond, Washington-based Microsoft welcomed the decisions, saying they "reflect the vibrant competition and innovation in the digital media and instant messaging space."

The Korean Fair Trade Commission, the antitrust regulator, fined Microsoft 32.5 billion won in 2006 for abusing its dominant market position and was ordered to offer consumers a version of Windows without Media Player or Messenger software installed.





 

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