EU rejects Microsoft settlement proposal

The European Commission has rejected Microsoft’s offer to settle its anti-trust case by putting competitors’ software on CD-ROMs sold with computers, a source familiar with the situation said on Tuesday. The proposal and its rejection came as part of continuing negotiations between the Commission and the Redmond software firm. The Commission believed the CD-ROMs distributed with new computers would get little use and would be an ineffective channel for distribution, the source said.

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