Connecticut says won’t sign Microsoft settlement

WASHINGTON: Connecticut on Tuesday ruled out signing an antitrust settlement

reached between Microsoft Corp., the federal government and nine of 18 states

that were party to the landmark case.

Connecticut Attorney General Richard Blumenthal said the settlement announced

earlier this month, which must still be reviewed by a federal judge, had too

many gaps and ambiguities to sign in its current form.

"The settlement reflects good progress but not good enough,"

Blumenthal said in a statement announcing his decision to continue the state's

lawsuit against the software giant. Outside a Nov. 6 court hearing, Connecticut

had been critical of the pact to settle the three-year-old case but had not

ruled out the possibility it would sign.

Microsoft was found by a federal appeals court to have illegally maintained

its monopoly in personal computer operating systems. The proposed settlement is

designed to give computer makers freedom to feature other software and requires

Microsoft to share parts of the inner workings of its Windows computer operating

system with other software makers.

During the five-year term of the agreement, a three-member panel would help

enforce the settlement. But Blumenthal said he thought a longer period was

needed, along with a stronger enforcement mechanism and tighter provisions to

stop Microsoft from retaliating against rivals.

"I am hopeful that we can continue discussions with Microsoft and

enhance the settlement or reach a judicial result to ensure that competition is

restored and consumers benefit," he said.

District Court Judge Colleen Kollar-Kotelly has said she will hold hearings

early next year on whether the settlement is in the public interest, while the

nine states that remain opposed to the pact prepare for hearings on whether any

additional sanctions against Microsoft are appropriate.

(C) Reuters Limited.