Corporate Counsel reports the company is "embarking on a path that will require significant change" within, general counsel Brad Smith said in a statement Wednesday.

"Nevertheless, we believe that these are important steps that resolve these competition law concerns."

Microsoft's first step under the settlement will be allowing customers to choose among rival Web browsers. Microsoft's legal department hopes this will help avert another legal battle involving regulators.

Microsoft has been fighting the European powers that be over antitrust issues for more than a decade.

It was accused by European officials of abusing the dominance of its Windows operating system to boost its media player and server businesses in 1998. This collapsed almost 10 years later when the European Commission demanded the mega software company pay a $2.44 billion fine and change business practices.

Though it appears to be out of the firing line after December's decision, Microsoft remains under scrutiny in Europe. The European Commission is investigating its compliance with a previous order to share confidential operating code with rivals, a point Microsoft also concedes to.