Google has lodged a formal antitrust complaint against Microsoft with the European Commission, accusing the tech giant of anti-competitive practices in the cloud services market. The complaint highlights Microsoft's alleged coercion of customers into purchasing Azure by manipulating licensing terms for Windows Server, which reportedly imposes significant costs on rivals. This move comes as Google struggles to maintain its position in the cloud sector, lagging behind market leaders Amazon Web Services and Microsoft's Azure.
The complaint underscores concerns that Microsoft's practices limit consumer choice and stifle competition, particularly in the European market. Google suggests that Microsoft's licensing changes have resulted in a 400% markup for customers using non-Azure platforms, which it argues creates an unfair advantage. The situation is compounded by the fact that three major providers dominate 72% of the EU cloud market, leading to calls for renewed antitrust scrutiny.
In response to the complaint, Microsoft has asserted that it has resolved previous concerns raised by European cloud providers. However, Google remains skeptical of these claims. The outcome of this complaint could significantly impact the competitive landscape of the cloud services industry in Europe, as stakeholders advocate for equitable practices that foster innovation and consumer choice.
