Issue: Whether bundling of media player violated antitrust, done to prevent competition from Real Networks.
Reasoning: Duty to deal is an exception where there is intellectual property. Duty to deal only if:
i. access indispensable to competitors [competition not consumers]
ii. refusal must exclude any effective competition on a neighboring market
iii. must prevent the appearance of a new product for which there is potential consumer demand
iv. D must then show an objective justification
MSFT ensured that competitors' work group server OSes could not attain interoperability. consumers preferred non-MSFT work group servers but were prevented from using them.
Bundling the media player: mkt share data shows that before bundling MSFT player, MSFT bundled Real Networks' player. Once MSFT had a player that was good enough it switched, giving MSFT player access to MSFT's 93.8% share of the PC OS mkt.
MSFT claimed efficiency justifications but the Commission rejected those arguments + Court agreed.
Order: Required interoperability OR stop bundling. MSFT chose to continue bundling. EU fined MSFT €3 Million. Ct. Justice affirmed commission's fines.