PARIS, Feb 10 (Reuters) - France's antitrust agency is

investigating Microsoft ( MSFT ) over concerns that it is

degrading the quality of results when smaller rivals pay to use

Bing technology in their own search-engine products.

"We are fully cooperating with the Autorite's

investigation," a Microsoft ( MSFT ) spokesperson said, referring to the

regulator's French name.

Bloomberg reported the investigation earlier on Monday.

Microsoft ( MSFT ), though not a major player in the general market, is a

leader in the search-engine syndication sector.

The competition authority declined to comment.

The investigation could yield formal charges and a fine

against the U.S. tech giant.