Microsoft Accused of Monopolizing|Add-Ons for its Xbox 360 Console

     SAN FRANCISCO (CN) – In a federal antitrust complaint, a company that makes memory cards for the Xbox 360 says Microsoft is trying to squeeze it out of the market for game console peripherals. Datel Design and Development claims that Microsoft created a software update for the Xbox 360 that disables Datel’s product and gives Microsoft a monopoly on memory cards.

Datel claims that Microsoft’s director of programming for Xbox Live issued a notice on his blog in October, warning Xbox players, “if you continue to use an unauthorized Memory Unit after the update, you will not be able to access your stored profile or saved games.”
The complaint also cites a interview that claimed Microsoft disabled Datel’s memory cards to prevent “cheating.” It claimed that “unauthorized memory units are not tested for compatibility or certified for safety and compliance standards and thus could damage customer’s Xbox 360 consoles.”
Datel claims Microsoft is also trying to prevent Datel’s announced but not yet released “Joypad” from working with the Xbox 360.
     It seeks damages for interference, unfair competition and antitrust violations, and wants Microsoft enjoined from disabling its memory cards and other accessories. Datel is represented by Martin Glick with Howard Rice.

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