Predictably, the EU's announcement that it would be conducting an "in-depth investigation into proposed takeover of Sun Microsystems by Oracle" has led to a certain amount of mouth-frothing from the free-market side. I don't want to comment on that aspect, since it's as much about political viewpoints as economic analysis, and talking about politics always ends in tears. But I'd just like to point out one interesting detail of Neelie Kroes's statement:
“The Commission has to examine very carefully the effects on competition in Europe when the world's leading proprietary database company proposes to take over the world's leading open source database company."
What's interesting here is that Kroes is juxtaposing proprietary and open source. Now, for you and me, this is reflexive, but for the EU's Competition Commissioner to be framing an extremely contentious intervention in these terms seems pretty stunning to me. It implies that the difference between those two worlds has been interiorised by at least some senior politicians to such an extent that they are using it as a central part of their analysis in major decisions, *without* feeling the need to justify that approach. Whatever your views on other aspects of the decision, I think Kroes deserves some credit for getting to that point.
More importantly, it basically means we're winning, people.
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