Microsoft internal memo warns European employees to prepare for fines

uncovered by Microsoft Watch editor Mary Jo Foley, one of the company’s associate counsel, Horacio Gutierrez, warns European employees - gently, but at length - that the €2 million per day fine the European Commission has been threatening to impose on the company, could indeed come by way of a ruling expected on 3 July.

One of the EU governments has leaked news that a decision on whether or not Microsoft has complied will come in July this year - and is indeed likely to include a fine. This non-compliance fine could total 100’s of millions of Euro for the period Microsoft is judged not to have complied and it will come in addition to the original fine back in March 2004.

Nevertheless, we have continued to stress that we are working intensively with the Commission and the relevant bodies and mechanisms to create documentation to an agreed specification. This is a long and complicated process but it is nevertheless working well and producing results. We have therefore emphasized that we believe fines to be "unjustified and unnecessary". There is also a process by which - if we are fined for non-compliance - we can appeal this fine. However, this story will persist and is likely to raise its head again over the next few weeks as more details emerge in advance of the decision.

Read the memo in its entirety (Microsoft Watch)