Microsoft Corporation (MSFT)’s Anti-Trust Investigations in China: Déjà Vu Moment?


Microsoft Corporation (NASDAQ:MSFT)’s local office in China were visited by officials from China’s State Administration for Industry and Commerce, which sets business laws in the country. The agency later said in a statement that it was probing “alleged monopoly actions” by Microsoft Corporation (NASDAQ:MSFT), though it didn’t reveal any specific wrongdoings.

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Microsoft Corporation (NASDAQ:MSFT) has also faced regulatory probes for abuse of its dominant position and breaching antitrust laws in the past in the European Union and other countries. Last year it was fined $732 million by the European Union for failing to honor an antitrust settlement with the regulators. The Chinese government declared earlier this year that it would stop using Windows 8.

QUALCOMM, Inc. (NASDAQ:QCOM), the largest chip maker for mobile phones, is also having troubles in China due to the country’s tough stance on monopolies and royalty payments. The company may be facing a crisis, since 69% of its revenues come from chips made by other manufacturers using its technology and patents.

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