Now it seems Microsoft will have to fight a war on two fronts. Sun Microsystems (SUNW) filed a complaint with the European Union, or EU, saying that Microsoft was in violation of the EU. s antitrust rules when the company refused to supply "essential information" concerning the various Windows operating systems.

Microsoft argues that it shouldn. t be forced to reveal information to competitors, while Sun argues that since Microsoft has a near monopoly on personal computer operating systems, it should provide enough information to allow competitors to make compliant software. Microsoft has 95% of the personal computer operating system market, and Sun Microsystems believes that the information about the Windows systems is necessary for the interoperability with server software not made by Microsoft. This could also contribute to a blow to Microsoft. s public relations, since competitors and consumers are together when it comes to their distaste for a company that keeps a lot of secrets.

Unlike the antitrust case going on in America, the European Union has a different threat. Instead of splitting up the software giant into two or more separate companies, Microsoft, if found in violation of the antitrust rules, could be forced to pay up to 10 percent of its annual global sales; however in reality the EU has never fined a company more than 1 percent. Even a 1 percent fine could prove extremely harmful to Microsoft, whose annual profits are around 23 billion dollars (making the 1 percent come out to 230 million).

The EU currently suspects that Microsoft was only releasing incomplete and discriminatory information to some competitors. The EU also believes that Microsoft refused to give interface information to competitors like Sun Microsystems.

Microsoft. s stock would probably suffer if the company lost 230 million dollars, although Sun could suffer if its claims are decided to be false. Does this mean Sun is a good buy? Is Microsoft a bad buy at the moment? Only time will tell, and those who make the most accurate predictions can come out of situations like these with lots of money.