Microsoft Germany hit with €9 million fine

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Microsoft Germany hit with €9 million fine

Microsoft in Germany has been hit with a €9 million (AU$16.8m) fine over its business practices.

The fine, imposed by the German competition authority, the BundesKartellamt, came about after the body determined that Microsoft had illegally fixed prices with retailers for the Office Home and Student 2007 software suite.

“The product in question was heavily advertised in the autumn of 2008 in stationary retail outlets,” said the BundesKartellamt in a statement.

“Amongst others, a nationwide active retailer advertised the product with financial support from Microsoft. Even before the launch of the advertising campaign in mid-October 2008, employees of Microsoft and the retailer in question had agreed on at least two occasions on the resale price of the software package “Office Home & Student 2007”.

While it isn’t illegal for some contact to take place between the producer and retailer it is against German law for the seller to agree on future actions by the retailer.

Microsoft has accepted the fine and will pay it shortly.

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