CHINA TOPIX

12/23/2024 12:48:00 am

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China Gives Microsoft 20 Dayst to Explain Bundling Issues

Microsoft in China

(Photo : Reuters)

China is giving Microsoft 20 days to explain so-called compatibility and bundling issues in its software.

The demand comes as the company faces an anti-trust probe in the country.

The State Administration for Industry and Commerce (SAIC) want the US tech company to explain "problems like incompatibility and other issues caused by a lack of released information about its Windows and Office software."

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The deadline was set during a Monday meeting with Microsoft, which included David Chen, a Microsoft vice president who oversees legal and corporate affairs in China.

Microsoft stated it will comply with the deadline and adheres to all relevant laws in China. Ot also said it's cooperating with the SAIC's anti-trust probe.

The probe includes inspections of Microsoft's China offices by Chinese officials over the last weeks. Email and other materials found in the company's offices were seized by the government.

SAIC has released very little information regarding its investigation of Microsoft. It did say it's moving based on complaints from other businesses about the company's Windows operating system and its Office productivity software.

State-controlled Xinhua News Agency complained that Microsoft "used tie-in sales and verification codes" with Windows and Office that may have broken anti-trust laws.

A representative for SAIC said they're currently investigating how Microsoft distributes its media player and Internet browser software.

As China steps up its anti-monopoly law, several foreign companies doing business in China have been placed under scrutiny.

SAIC intends to pressure foreign businesses into transparency to prevent them gaining too much power in the Chinese market.

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