Microsoft chief executive, Mr Steve Ballmer, has welcomed the US justice department's offer for more talks aimed at settling their anti-trust dispute.

"We would still love that opportunity," Mr Ballmer told a news conference during a European business summit organised by Belgium's employers' federation.

"We would love to settle this case. We were unable to in the last round discussion. It would not be appropriate to comment further at this time," Mr Ballmer said, referring to earlier talks aimed at reaching a settlement which collapsed in April.

A US court ruled this week that the computer software giant must be split in two. Mr Joel Klein, head of the US justice department's antitrust division, said on Thursday that he was "prepared to engage in meaningful settlement negotiations with Microsoft".

Mr Ballmer repeated that Microsoft would appeal this week's court ruling. He also said that the judgment, if applied, would "severely restrict innovation and increase prices for software and computers worldwide".

"There were errors of law and fact in the judgment," he said.

"We worked very hard earlier this year, both me, Bill Gates and the department of justice, and were unable for all our best efforts to reach a settlement," Mr Ballmer said.

He added that "it is inappropriate to speculate here" on current prospects for a settlement.

Asked about the European Commission's current investigation into Microsoft's Windows 2000 operating system he said Microsoft is working hard to ensure that its actions and business fully comply with EU directives.