Windows XP next up in EC's anti-trust investigations

Microsoft's Windows XP will be the next target of the European Commission's current probe into the company's alleged anti-competitive practices, according to the lawyer at the heart of the EC's case.

Thomas Vinje, partner at MoFo Brussels and chief legal advisor to the Computer and Communications Industry Association, claimed the European investigation into Microsoft's bundling of software will eventually extend to include the latest operating system - Windows XP.

He said: "This case is in part about tying Media Player into the desktop and that has everything to do with Windows XP and Microsoft's future strategy. If Microsoft is not shaking in its boots then it is misleading itself."

The European Commission announced on Thursday it that will extend its present investigation into Microsoft's business practices to look at bundling of software such as Media Player and allegations of illegal practices to gain dominance in the server market.

Vinje claimed the move reflects the seriousness of the EC's intention in halting Microsoft's monopolistic agenda.

"It has become clear to me that anti-competitive behaviour is programmed into the DNA of the company and they don't know how to do business any other way. They can't imagine any other world, they simply must keep marching to that drum.

"But they can't continue to be the same company and have success resulting from that sort of behaviour. Their main modus operandi is anti-competitive and that is illegal."

Sources close to the case confirmed that evidence is being gathered and Mario Monti, EU competition commissioner , is closely watching the market developments.

The EC will consider forcing Microsoft to unbundle software within the Windows product if it wants to trade in Europe.

Vinje explained: "Fines are available to the Commission and we would favour a large one, given that Microsoft has $30bn in cash, but we'd prefer to impose behavioural remedies."

Microsoft declined to comment.