A Seoul court rejects Microsoft's request to suspend a South Korean ruling that the company must unbundle its media player and messaging service from Windows software.
SEOUL (Reuters)—A Seoul court rejected Microsoft Corp.'s request to suspend a South Korean ruling that the company must unbundle its media player and messaging service from Windows software, Seoul's antitrust agency said.
"Microsoft filed on April 17 an injunction seeking the suspension of the decision, but the court rejected the request on July 4, saying it was unfounded," South Korea's Fair Trade Commission said in a statement on Tuesday.
Officials at Microsoft and at the Seoul court could not immediately be reached for comment.
The Fair Trade Commission ordered the world's biggest software company in December to make the separation or allow for the embedding of rival products on its system. It also fined Microsoft 32.5 billion won ($34.5 million).
Microsoft filed a formal objection with the commission in March, seeking to annul all the decisions and the fine. The commission rejected the objection on May 23.
The U.S. company separately filed an appeal with the Seoul High Court to review the case, for which a ruling has yet to be made.
Microsoft has said its bundled version has benefited consumers and the local technology industry and has not blocked competition because South Koreans can already download and use competitors' software.
"This is meaningful in that the effect of aggressive correcting measures that (we have) taken for the restoration of the market order can be executed without being suspended," the Fair Trade Commission said.
"We plan to actively take counter-measures if Microsoft appeals to the highest court against this decision."
The 2005 ruling, which resembles a 2004 European Commission decision, held that Microsoft was in breach of antitrust laws by selling a version of Windows that incorporated its media player and instant messaging services.
South Korea is among the top 10 markets for Microsoft globally, the company has said, without giving details.
The $34 million fine is the largest imposed on a foreign firm by the commission, but analysts have said the ruling would have limited ramifications beyond the country.
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