Microsoft pays settlement to AOL

Microsoft will pay AOL Time Warner $750m (€631m) and allow it to licence its browser software for seven years in a settlement to resolve a monopoly case against the software giant, the companies announced.

The settlement also calls for Microsoft to licence its digital media technology to AOL, as well as work with the company to promote digital media initiatives.

Microsoft will provide technical information to AOL to ensure that its products run effectively on the Windows operating system.

The agreement settles a case AOL filed against Microsoft in January 2002 on behalf of its subsidiary, Netscape Communications.

The complaint was one of several private antitrust (monopoly) cases still pending against Microsoft over alleged anti-competitive behaviour.