A Microsoft spokesperson confirmed that Microsoft has filed an application for annulment with the Court of First Instance specifically concerning the issue of broad licenses in source code form of communications protocols which are based upon Microsoft’s intellectual property.

The issue is a major sticking point between the Commission and Microsoft in terms of the interoperability remedies proposed by the Commission after Microsoft was found to have abused its market position in low-end servers and multimedia players. The company was also fined a record $600m.

Microsoft believes that software developed by users of the company’s published interoperability information should not be able to license their software under an open source license, while European Competition Commissioner, Neelie Kroes is determined to enable open source software developers to take advantage of the remedy.

The issue has remained outstanding despite the Commission announcing in June that is was satisfied with Microsoft’s proposals to comply with the interoperability remedies. The latest filing is part of an agreement reached by Microsoft and the Commission at that time to take advice from the Court of First Instance.

This filing is the result of the agreement we reached with the Commission in June to put this particular issue to the Court of First Instance for guidance and avoid any further delay in the process, said Microsoft’s spokesperson. We are taking this step so the Court can begin its review now of this issue given it’s far reaching implications for the protection of our intellectual property rights around the world.

The Commission believes it will be able to force Microsoft’s hand and open up the information to open source developers should the European Court of First Instance decline Microsoft appeal against the sanctions, at least for the protocols that do not embody innovations.

Microsoft’s appeal against the wider antitrust ruling is still ongoing and will be heard by the European Court of First Instance’s Grand Chamber. A final ruling is not expected until 2006 at the earliest.