Microsoft where not found guilty, by the EU, of bundling Media Player with windows, and they were not requried to stop bundling it either.
What there were guilty of was *compulsory* bundling. The corrective action was to offer Windows N, which provides a choice to users of whether they want WMP or not.
The bundled product also has to have its own distinct market, and the bundling action has to have caused damage. I'm not sure what market "Windows Live" falls into. "Online Personal Presence", perhaps?
The current Windows Live offering is not bundled with Windows anyway. The various desktop apps need to be downloaded, and the rest of it resides on servers somewhere at Microsoft. It's your choice if you use it, and I'd like to read an explanation of how it has damaged competition, give the huge popularity of Facebook, Google et al.
Of course, if they do tie Window Live deeply into every version of Windows 7, they deserve all the investigations that will surely follow.
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