Google files complaint to the EU over Microsoft’s cloud practices: All the details

EU

Google has filed an antitrust complaint to the European Union (EU), accusing Microsoft of using anti-competitive practices to lure customers into Microsoft's cloud platform Azure. The search giant argues that Microsoft is violating European competition laws by charging harsh fees for its customers to transfer projects running on Microsoft’s Azure cloud platform.

In a new blog post, Google announced that Microsoft paid customers a 400% mark-up to keep running Windows Server on rival cloud computing operators. Amit Zavery, Vice President and head of Google Cloud Platform, added “We believe this regulatory action is the only way to end Microsoft vendor lock-in and for customers to have a choice and create a level playing field for competitors."

The complaint draws on research suggesting European businesses and public sector organisations pay up to Euros 1 billion annually to run Microsoft software in non-Azure cloud environments. In reply, Microsoft has defended its position as the company’s president, Brad Smith, has stated that its previous deal has resolved past concerns and increased competition.

Microsoft, in July this year, clinched a 20-million-euro deal to settle a similar antitrust complaint about its cloud computing licensing practices with CISPE, avoiding the European Commission. The company’s cloud practices are also under investigation by the United Kingdom’s Competition and Markets Authority.

However, Zavery suggests “The time to act is now”. He added, that “the cloud market will get more and more restrictive if things don't happen now." The search giant has also mentioned that regulatory action would prevent these policies and keep a level playing field for everyone in cloud services.