The Competition Commission of India (CCI) has dismissed an antitrust case against Microsoft for bundling the Windows 10 operating system (OS) with its pre-installed antivirus software. The regulator ruled that the there is no indication that Microsoft has placed any restrictions or mandatory conditions on users regarding the use of Microsoft Defender, the anti-virus software.
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“Consumers have the freedom to install and use third-party antivirus applications of their preference, without any technical or contractual barriers preventing them from doing so. The Commission does not find alleged contravention of the provisions of section 4 of the Competition Act against Microsoft being made out,” the order noted. The section 4 of the Act prohibits businesses from abusing their dominant market position.
In a complaint filed against Microsoft, the informant had said that in 2015, when Microsoft released its Windows 10 OS, it was bundled with pre-installed antivirus software Microsoft Defender.
“As only one default antivirus app is allowed on Windows devices, third-party developers may get their software pre-installed through agreements but cannot have it pre-activated. Being set as the default is essential for an antivirus program’s functionality, including performing automated background system scans—a core feature distinguishing antivirus software,” the complaint said.
Further, it said that without default status, third-party apps lack access to critical features like real-time protection, on-demand scanning, and automatic updates, which are only available to the default antivirus app. Hence, the third-party antivirus apps may struggle to compete effectively and could face elimination from devices due to their inability to function optimally.
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In its defence, Microsoft said that the Microsoft Defender is not a separate product but a core security feature integrated into the Windows OS to provide real-time protection. Microsoft emphasised that Defender is not marketed or sold separately but is inherently included in the OS at no additional cost to users who purchase Windows OS. Additionally, Microsoft said that it is not dominant in the relevant market, and there is no element of coercion forcing Windows users to rely on Microsoft Defender as their primary or sole antivirus protection.
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