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Chinese Regulators Still Want Answers from Microsoft in Anti-Trust Investigation

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Microsoft is under new scrutiny from the Chinese government, a year and a half after anti-trust regulators conducted raids across four Microsoft offices in China as part of an anti-monopoly investigation.

According to the New York Times, the State Administration for Industry and Commerce (SAIC) is now looking for answers to “’major questions’ that arose from the data but did not provide any further details of the investigation.”

Critics say that China uses its regulatory agencies to give local companies an advantage, according to the report. These issues have prompted many tech companies expanding to China to partner with local companies in order to navigate the complex regulatory environment.

In 2014, SAIC said that Microsoft had been suspected of violating China’s anti-monopoly law since 2013 over issues with compatibility, bundling and document authentication for its Windows operating system and Microsoft Office software.

Microsoft’s more recent challenges stem from when the company decided to end support and security updates for Windows XP, which is used by many Chinese companies and government offices, according to NYT.

Microsoft told NYT that it was “serious about complying with China’s laws and committed to addressing SAIC’s questions and concerns.”

Last week, Microsoft unveiled that several years ago Chinese authorities had hacked into more than a thousand Hotmail email accounts, but decided not to tell the victims, according to a report by Reuters. Microsoft said it would change its policy and in the future tell customers when it suspects there has been a government hacking attempt.

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About the Author

Nicole Henderson is the Editor in Chief of the WHIR, where she covers daily news and features online. She has a bachelor of journalism from Ryerson University in Toronto. You can find her on Twitter @NicoleHenderson.

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