04.24.09

It’s Unofficial: Microsoft Pays ASUS (Kickbacks) to Block GNU/Linux. Will EU Commission Step in?

Posted in Antitrust, GNU/Linux, Microsoft, Windows at 3:08 am by Dr. Roy Schestowitz

Summary: “Microsoft is actually paying for using Windows [...] Asus speaker confirmed this in Germany,” says an informant

According to a German Web site, some are being told that Microsoft has been paying ASUS per sale in order for them to install Windows XP and neglect or exclude GNU/Linux. There are some attempts to find the particular place where an official message from ASUS (probably E-mail) let it be known, right after someone had complained about the absence/price of comparable Eee PC with GNU/Linux. Details from the conversation are added below.

“The European Commission needs to intervene if this is provably true.”Considering the fact that less than a year ago an ASUS official said, “currently, we are closely tied up with Microsoft,” the above makes sense. The European Commission needs to intervene if this is provably true. This would mean that Microsoft is still breaking the law behind closed doors. It breaks the laws in some other areas (OOXML for example), but this area should not be neglected. Kickbacks are almost a euphemism for bribes, especially when you are a monopolist. Intel will soon be fined for it in Europe.

Is Microsoft paying OEMs to deny the entry of GNU/Linux into this market (or its survival there)? Could Microsoft be actually charging nothing for Windows XP on some devices? Not even $5? What about the cost of patents that encumber each copy of Microsoft Windows? █

Appendix: Conversation log

*mib_24m6za (i=58418c01@gateway/web/ajax/mibbit.com/x-f986a58cab439fd0) has joined #boycottnovell		Apr 22 19:46
mib_24m6za	dang I want to relogin with my real nick but cant even when I delete all cookies….	Apr 22 19:46
mib_24m6za	anyway, MS will get taught a lesson in Russia	Apr 22 19:47
mib_24m6za	simply put they will take the money but go on their way	Apr 22 19:47
schestowitz	Yes	Apr 22 19:47
schestowitz	Russia shows Microsoft’s weakness	Apr 22 19:48
mib_24m6za	I am quite sure this 300m are one of the worst investments every of Ballmer	Apr 22 19:48
schestowitz	It can’t make people pay	Apr 22 19:48
schestowitz	So it dumps	Apr 22 19:48
mib_24m6za	my only concern is that the 300m are no cash but some worthless Windows copies or training classes	Apr 22 19:48
schestowitz	They did something similar in other countries like India	Apr 22 19:48
schestowitz	Yes	Apr 22 19:48
schestowitz	It’s worthless to them	Apr 22 19:48
mib_24m6za	leaving a steaming pile of cash?	Apr 22 19:48
schestowitz	See the link that says “Under no circumstance lose to Linux”	Apr 22 19:49
schestowitz	If Linux wins they get $0	Apr 22 19:49
mib_24m6za	that was Munich… my home town	Apr 22 19:49
schestowitz	So they might as well give Windows+office for $0	Apr 22 19:49
schestowitz	Basically, here’s how it goes	Apr 22 19:49
schestowitz	One might say, Linux has no chance	Apr 22 19:49
schestowitz	Because Microsoft competes with $0 Windows	Apr 22 19:49
schestowitz	But that’s nonsense	Apr 22 19:50
schestowitz	Because sooner or later that becomes the price of Windows	Apr 22 19:50
schestowitz	See the price of XP on subnotebooks	Apr 22 19:50
schestowitz	About $5	Apr 22 19:50
schestowitz	because of LINUX	Apr 22 19:50
mib_24m6za	MS is actually paying for using Windows – said that already a 100 times… Asus speaker confirmed this in Germany	Apr 22 19:50
schestowitz	So they won’t be profitable for much longer	Apr 22 19:50
mib_24m6za	they charge 15 USD for Win XP Home but pay a per unit kickback	Apr 22 19:50
mib_24m6za	for every netbook sold	Apr 22 19:50
schestowitz	Ballmer has just taken a cheap shot at Oracle’s purchase of Sun saying it’s a sw company buying a hw company	Apr 22 19:50
schestowitz	He said MS would never do such a thing	Apr 22 19:51
schestowitz	But!	Apr 22 19:51
mib_24m6za	which is higher than the licence fee	Apr 22 19:51
schestowitz	Their sw becomes worthless	Apr 22 19:51
schestowitz	In the cost sense	Apr 22 19:51
schestowitz	So they tried to sell hw without success	Apr 22 19:51
schestowitz	Notably Zune and Xbox	Apr 22 19:51
schestowitz	They lost ?$billions	Apr 22 19:51
mib_24m6za	hey – I own a MS mouse – the best MS product I ever used	Apr 22 19:51
mib_24m6za mib_2kldw9 mib_bs9bo5 mib_ey0o48 mib_nhm138 mib_vfvtjy		Apr 22 19:51
schestowitz	mib_24m6za: can you get me that link?	Apr 22 19:52
schestowitz	Even in Deutsch?	Apr 22 19:52
mib_24m6za	yes they are shoveling money in thewir commercial grave so to say :-9	Apr 22 19:52
schestowitz	I need to use that	Apr 22 19:52
schestowitz	mib_24m6za: please please find me that reference	Apr 22 19:52
schestowitz	From ASUS	Apr 22 19:52
schestowitz	I’d re-cite it a lot when the issue comes up	Apr 22 19:52
mib_24m6za	let me look this up it is buried somewhere here http://www.eee-pc.de/	Apr 22 19:52
mib_24m6za	or should be there	Apr 22 19:52
mib_24m6za	was a user who mailed Asus why no Linux netbooks	Apr 22 19:53
schestowitz	That would change the whole way we think about this issue	Apr 22 19:53
schestowitz	That’s literally buying one’s market share	Apr 22 19:53
mib_24m6za	and they answered very frankly cause they get kickbacks	Apr 22 19:53

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