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WASHINGTON, D.C. FreedomWorks today sharply criticized the E.U.’s European Commission’s (EC) recent fine of 280.5 million euros, or $357 million, against Microsoft. The fine came despite the fact that the underlying case is on appeal and has yet to be resolved.
FreedomWorks chief economist Dr. Wayne Brough commented, “What is clear about the allegations against Microsoft is that they do not represent ‘competitive abuse’ as it is traditionally understood. Microsoft simply wants to make a popular product even better. The company is not colluding with competitors to fix prices, as was the case recently with manufacturers of memory chips.
“The EC is clearly targeting a hugely successful American firm with extraordinary and unwarranted penalties.”
FreedomWorks President Matt Kibbe added, “While some lagging European companies may gain from the recent decision in Brussels, the consumer in Europe bears the burden of the decision. Is Europe simply creating a new precedent that less innovative companies that are failing in the market can simply turn to the government for support? Microsoft may be just one instance of regulatory zeal, but the decision sends a clear warning to any American firm hoping to do business in Europe: In America, success breeds success, but in Europe, success breeds regulation and government intervention.“