Google files lawsuit in EU over Microsoft's antitrust violations, using unfair licensing agreements in cloud computing
The top three in the cloud computing market are Amazon, Microsoft, and Google. Google has filed a lawsuit in the EU, alleging that Microsoft's use of its software product advantages to prevent customers from switching to other companies is a violation of antitrust law.
Filing EU complaint against Microsoft licensing | Google Cloud Blog
Google files EU antitrust complaint accusing Microsoft of stifling cloud competition - CNBC
Google Files EU Antitrust Complaint, Accuses Microsoft of Stifling Cloud Competition - Business Times
https://www.btimesonline.com/articles/169510/20240926/google-files-eu-antitrust-complaint-accuses-microsoft-of-stifling-cloud-competition.htm
According to Google, Microsoft is using its dominance over its software products, such as Windows Server and Microsoft Office, to prevent customers from switching to competing services.
Amit Zavery, vice president of Google Cloud, said that one of the specific sabotage measures Microsoft is taking is the so-called 'cloud tax,' which is a license fee imposed on those who use cloud services other than those from Microsoft. The 'cloud tax' paid by companies across Europe to Microsoft is said to be 1 billion euros (about 161 billion yen) per year.
Zaveri said Microsoft's measures undermine customer free choice, have a negative impact on market competition, and are '100% in violation of EU antitrust rules.'
Microsoft had a similar dispute with CISPE , the European body representing cloud providers, but settled the matter in July 2024.
CISPE and Microsoft Agree Settlement in Fair Software Licensing Case | CISPE - The Voice of Cloud Infrastructure Service Providers in Europe
https://cispe.cloud/cispe-and-microsoft-agree-settlement-in-fair-software-licensing-case/
However, Google, which is not a member of CISPE, did not agree to the settlement and did not participate in the agreement. Amazon Web Services and Alibaba's cloud division, AliCloud, also did not participate in the settlement agreement.
'A more open and competitive cloud environment benefits all providers, including smaller European cloud vendors,' Zaveri said.
Microsoft has denied the allegations that it is 'stifling competition in the cloud market,' and responded to the UK authorities' investigation by saying it 'is confident that the cloud market is functioning well.'
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