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The European Commission has confirmed that it has entered talks with Microsoft with the aim of keeping its licensing agreement for Windows.



From PCWorld:

The current deal with Microsoft is set to expire on May 31 and the Commission decided to enter into negotiated procedures with the software giant rather than hold a public tender. This decision has sparked much controversy among supporters of open standards. Those talks started on March 24.

However, the negotiated procedure measure is allowed by European Union rules under certain conditions and allows the Commission to acquire software made by a single vendor. But contracts can only be renewed for a maximum of three years.
  EU Commission Enters Talks With Microsoft for New Licenses