In a bold assertion of independence, Israel has thrown the full weight of its antitrust legislation at Microsoft.

The Israeli Ministry of Commerce has suspended all governmental contracts with Microsoft, and indicated that the ban will last throughout 2004. The de facto suspension means no upgrades for the duration, at a time when Microsoft is looking to roll out its Office 2003 upgrade; and the Ministry is said to be examining OpenOffice as an alternative.

It's a consequence of a much-anticipated legal verdict: Israeli Antitrust Authority director general Dror Strum has finally acknowledged that Microsoft is a monopoly.