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U.S. Justice Department Investigates Microsoft Again

Microsoft%squots recent investment in Apple, along with its acquisition of several other companies, has prompted a new Justice Department investigation.

By Joanne Taaffe, PCWorld   

The Justice Department%squots antitrust division is examining a number of Microsoft deals in the audio and video streaming market, according to the Wall Street Journal, the earliest of which dates back to last year when the company took a 5 percent stake in VDONet Corp.

In July Microsoft acquired 10 percent of Progressive Networks, and licensed Progressive Networks%squot RealAudio and RealVideo real-time streaming data formats. The move was seen by industry observers as a means to hasten the establishment of industry standards for streaming media over the Internet.

Two weeks after taking a stake in Progressive, Microsoft then bought VXtreme, a California-based Internet streaming video and audio startup.

The Justice Department told Progressive Networks that it is interested in areas of %dquothorizontal merger, monopolization of audio and video and streaming software,%dquot according to the WSJ.

Officials at Microsoft and Apple were not immediately available for comment, but Microsoft%squots investment this month in Apple was seen by industry analysts as a ploy to keep a rival alive and federal regulators at bay.