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A year after ending its lengthy legal battle with the European Union, Microsoft, the software giant, is facing new charges of abusing its dominant position with the Windows operating system.

But this time, legal experts say, the European authorities may have a harder time winning their case because Microsoft may in fact be losing market share—at least in some segments of the software market.

The European Commission, which enforces antitrust law, confirmed that it had sent a statement of objections to Microsoft over the packaging of its Web browser, Internet Explorer, with the Windows operating system.

The commission said its ‘preliminary view’ was that Microsoft was again blocking ‘genuine consumer choice’ and ‘competition on the merits’—as in the previous case involving its media player. If found guilty of infringing rules on “abuse of a dominant position,” Microsoft could face another fine and be forced to change its business practices
Microsoft, which has already paid more than one billion euros, or $1.3 billion, in fines, was given eight weeks to respond.

The developments in the browser market are likely to play a role in the investigation. According to Net Applications, a research firm in Aliso Viejo, California, Microsoft had 68% of the global browser market, compared with 21.3% for Firefox, 7.9% for Safari, 1% for Chrome and 0.7% for Opera. That was down from more than 80% two years ago.

Under a 2002 consent decree, the Justice Department monitors Microsoft’s use of Internet Explorer to ensure competitors are not disadvantaged through the Windows operating system. Microsoft could request a private hearing, after which the commission could take up to a year for a decision, which Microsoft could then appeal in court.