Wednesday, 9 November 2022

EU Cloud Providers File Complaint Against Microsoft Citing ‘Irreparable Damage’

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EU Cloud Providers File Complaint Against Microsoft Citing ‘Irreparable Damage’

Cloud Infrastructure Service Providers in Europe (CISPE) filed a complaint against Microsoft, saying it is “irreparably damaging” the EU cloud industry.

Microsoft has been under fire in Europe for perceived anti-competitive behavior. The company has been accused of using its dominance in the operating system and productivity software markets to make it more expensive for companies to choose alternative cloud providers.

The initial complaint led Microsoft to outline changes it intended to make in an effort to foster a more competitive cloud environment. Despite those efforts, CISPE says there are “serious unresolved issues,” and “it seeks remedies that will benefit customers and vendors in a vibrant marketplace for cloud infrastructure services.”

Read more: Microsoft Making Changes to Level Cloud Computing Playing Field

CISPE directly addresses Microsoft’s announced changes, claiming those changes impose “new unfair practices” rather than truly addressing the issue. The organization also accuses Microsoft of merely attempting to head off regulatory scrutiny with its various announcements and calls on the EU to open a formal investigation.

“CISPE members represent the vibrant, autonomous and independent foundations of Europe’s digital transformation and growth. We have filed this sector complaint to rectify the harms suffered by vendors and customers alike as a result of unfair software licensing practices,” said Francisco Mingorance, Secretary General of CISPE. “Leveraging its dominance in productivity software, Microsoft restricts choice and inflates costs as European customers look to move to the cloud, thus distorting Europe’s digital economy. DG Comp must act swiftly to open a formal investigation with a statement of objections against Microsoft’s software licence abuses to defend the robust cloud ecosystem Europe needs and deserves.”

Given the EU’s broader crackdown on Big Tech, CISPE’s complaint could well lead to the exact investigative scrutiny Microsoft hoped to avoid.

EU Cloud Providers File Complaint Against Microsoft Citing ‘Irreparable Damage’
Matt Milano



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