Microsoft said on Monday it would not appeal against its defeat in a landmark antitrust case in a top European Union court last month. Earlier on Monday the European Commission said Microsoft had agreed on measures to comply with a decision by the EU executive in 2004 that the software group was breaking competition rules. "At the time the Court of First Instance issued its judgment in September, Microsoft committed to taking any further steps necessary to achieve full compliance with the Commission's decision," Microsoft said in a statement.

"We have undertaken a constructive discussion with the Commission and have now agreed on those additional steps. We will not appeal the CFI's decision ... and will continue to work closely with the Commission and the industry to ensure a flourishing and competitive environment for information technology in Europe and around the world," it said.