Feeds

Microsoft uses $850m to kiss and make up with IBM

Well puckered

  • alert
  • submit to reddit

Choosing a cloud hosting partner with confidence

Microsoft and IBM can be friends again - or at least less bitter partners/rivals after Redmond agreed to hand over an $850m antitrust apology.

Microsoft will pay IBM $775m and dole out a $75m software credit. These gifts stem from Microsoft's antitrust trial in which IBM was deemed to have been unfairly punished by Microsoft's business practices. Critically, Judge Thomas Penfield Jackson found that Microsoft overcharged IBM for software and used unsavory, discriminating pricing tactics.

"With these antitrust issues behind us, both Microsoft and IBM can move ahead, at times cooperatively and at times competitively, to bring the best products and services to customers," said Brad Smith, general counsel at Microsoft. "Over the last few years we have been focused on resolving our disputes with other companies, and today's announcement takes another significant step towards achieving that goal."

Microsoft has coughed up more than $3bn to rivals such as Sun Microsystems, AOL and Gateway over various anticompetitive matters. The beef with IBM centered around the OS/2 operating system, SmartSuite productivity software and how Microsoft licensed Windows.

"IBM is pleased that we have amicably resolved these longstanding issues," the company said in a statement.

Now the two vendors can go back to less amicably competing over Java, Unix, and Linux while partnering to sell millions in Windows and Office licenses. ®

Related stories

Microsoft overcharging case thrown out of court
Microsoft pays Gateway to go away
MS antitrust: IBM, Nokia, Oracle enter the fray
Microsoft settles Burst.com lawsuit
Pulp Fiction writer sues Microsoft over virtual yoga
Microsoft settles Sendo 'tech theft' lawsuit
Microsoft settles L-----s dispute
Microsoft squares Minnesota class action
Microsoft makes peace with Massachusetts
Lawyers claim earth, sky and moon from Microsoft
Microsoft squares Intertrust DRM suit for $440m
Sun settles with MS for $2bn (ish)

Secure remote control for conventional and virtual desktops

More from The Register

next story
UNIX greybeards threaten Debian fork over systemd plan
'Veteran Unix Admins' fear desktop emphasis is betraying open source
Netscape Navigator - the browser that started it all - turns 20
It was 20 years ago today, Marc Andreeesen taught the band to play
Redmond top man Satya Nadella: 'Microsoft LOVES Linux'
Open-source 'love' fairly runneth over at cloud event
Return of the Jedi – Apache reclaims web server crown
.london, .hamburg and .公司 - that's .com in Chinese - storm the web server charts
Chrome 38's new HTML tag support makes fatties FIT and SKINNIER
First browser to protect networks' bandwith using official spec
Admins! Never mind POODLE, there're NEW OpenSSL bugs to splat
Four new patches for open-source crypto libraries
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.