Menu
Microsoft faces anti-monopoly probe in China over Windows, Office

Microsoft faces anti-monopoly probe in China over Windows, Office

Chinese conducted surprise raids on Microsoft offices in the country on Monday

Microsoft Research Offices in Beijing.

Microsoft Research Offices in Beijing.

China has opened an anti-monopoly probe into Microsoft over problems arising from its Windows and Office software, a government regulator said on Tuesday, a day after it conducted surprise raids of the company's offices in the country.

China's State Administration for Industry and Commerce (SAIC) has been investigating Microsoft following an industry complaint in June 2013 alleging that Windows and Office are not fully open, resulting in compatibility, bundling and document verification issues.

SAIC did not elaborate any further in its online posting. But on Monday, the regulator sent hundreds of staff to raid four Microsoft offices in Beijing, Shanghai, Guangzhou and Chengdu.

"Following the earlier stages of the investigation, we cannot dismiss suspicion of Microsoft's anti-competitiveness," SAIC added.

Microsoft employees investigated have included a company vice president, top managers, and marketing and finance related staff. Copies were taken of Microsoft contracts and financial statements, along with PC and server storage containing internal emails.

But many of the Microsoft employees SAIC wants to investigate are out of the country, meaning that the probe is not completed, the regulator said.

Microsoft declined to comment on Tuesday. The day before, the company said it was happy to answer the government's questions.

China has been a major market for the U.S. company, where its Windows OS remains the top PC operating system. In May, however, a Chinese government procurement agency began banning purchases of Windows 8 systems, taking Microsoft off guard.

The government agency has yet to explain why the ban was made. But Microsoft ending official support for Windows XP, exposing the operating system to security risks, has been cited as one reason, according to China's state-controlled press.

SAIC's investigation comes months after Chinese regulators opened an anti-monopoly probe into U.S. chip vendor Qualcomm, following complaints that the company had been overcharging clients. The investigation is still ongoing, and Qualcomm could face a major fine if found guilty.

All of this is happening as China has expressed concern about the U.S. government's secret surveillance programs being built into U.S. technology products. In May, China threatened to block companies from selling IT systems in the country if they failed to pass a new "cybersecurity vetting system" the government was working to establish.

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags antitrustMicrosoftregulationlegalChina's State Administration for Industry and Commerce (SAIC)government

Featured

Slideshows

Educating from the epicentre - Why distributors are the pulse checkers of the channel

Educating from the epicentre - Why distributors are the pulse checkers of the channel

​As the channel changes and industry voices deepen, the need for clarity and insight heightens. Market misconceptions talk of an “under pressure” distribution space, with competitors in that fateful “race for relevance” across New Zealand. Amidst the cliched assumptions however, distribution is once again showing its strength, as a force to be listened to, rather than questioned. Traditionally, the role was born out of a need for vendors and resellers to find one another, acting as a bridge between the testing lab and the marketplace. Yet despite new technologies and business approaches shaking the channel to its very core, distributors remain tied to the epicentre - providing the voice of reason amidst a seismic industry shift. In looking across both sides of the vendor and partner fences, the middle concept of the three-tier chain remains centrally placed to understand the metrics of two differing worlds, as the continual pulse checkers of the local channel. This exclusive Reseller News Roundtable, in association with Dicker Data and rhipe, examined the pivotal role of distribution in understanding the health of the channel, educating from the epicentre as the market transforms at a rapid rate.

Educating from the epicentre - Why distributors are the pulse checkers of the channel
Kiwi channel reunites as After Hours kicks off 2017

Kiwi channel reunites as After Hours kicks off 2017

After Hours made a welcome return to the channel social calendar last night, with a bumper crowd of distributors, vendors and resellers descending on The Jefferson in Auckland to kickstart 2017. Photos by Maria Stefina.

Kiwi channel reunites as After Hours kicks off 2017
Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow Electronics introduced Tenable Network Security to local resellers in Sydney last week, officially launching the distributor's latest security partnership across Australia and New Zealand. Representing the first direct distribution agreement locally for Tenable specifically, the deal sees Arrow deliver security solutions directly to mid-market and enterprise channel partners on both sides of the Tasman.

Arrow exclusively introduces Tenable Network Security to A/NZ channel
Show Comments