Updated

The General Court of the European Union has upheld most of a massive fine against Microsoft Corp. by the European Commission's competition watchdog in 2008.

In a ruling Wednesday, it rejected Microsoft's appeal but did cut the fine by €39 million to €860 million ($1.1 billion).

The fine is technically a "penalty for noncompliance" with a 2004 order by the watchdog for Microsoft to make code available for its server software that would allow competitors' products to interface properly.

Wednesday's decision "essentially upholds the Commission's decision and rejects all the arguments put forward by Microsoft in support of annulment," the court in Luxembourg said.