TAIPEI--Microsoft will cut software prices in Taiwan by 26.7 percent to settle an investigation into unfair trade practices, the island's competition watchdog said Thursday.

It will also sell the components of its Office XP suite of software separately and share its closely guarded source code for the Windows operating system with the government, the cabinet's Fair Trade Commission said.

"Microsoft Taiwan's concrete action to lower prices of Microsoft products is exactly in line with the Fair Trade Commission's goals of maintaining orderly trade, consumer benefits, fair competition and economic prosperity," the commission said in a statement.

It said Microsoft would cut prices by an average of 26.7 percent as part of a settlement to an investigation launched after a consumer backlash against government crackdowns on software piracy.

Source: ZDNet Tech

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