Microsoft faces UK legal action over alleged cloud licence abuses
British and US regulators probe Microsoft’s competitive practices in cloud computing.
Microsoft is facing a £1 billion legal claim in the UK, alleging it imposed unfair licensing fees on businesses using rival cloud services like Amazon, Google, and Alibaba. The case, brought by competition lawyer Maria Luisa Stasi, accuses Microsoft of deterring customers from using competing cloud platforms by inflating fees for its Windows Server software.
The licensing changes, introduced in 2020, reportedly incentivised customers to choose Microsoft’s Azure platform, raising concerns about restricted competition. Britain’s competition watchdog is also scrutinising Microsoft’s cloud practices as part of a broader industry investigation.
The United States Federal Trade Commission has similarly launched an antitrust probe into Microsoft’s cloud computing and software licensing, investigating potential market abuse. Microsoft’s actions have sparked global attention over its influence in the cloud sector, which is dominated by Microsoft, Amazon, and Google.