Microsoft Azure: Microsoft accuses Google and AWS of 'muddying' UK CMA investigation

Jul 29, 2024 | Posted by Abdul-Rahman Oladimeji

Microsoft has claimed that its rivals Amazon Web Services (AWS) and Google are 'muddying the waters' of the antitrust investigation currently underway by the UK Competitions and Markets Authority (CMA). 
 

 Google reiterated the criticism of Microsoft in its six-page response. which said; "We believe Microsoft’s licensing practices both raise rivals’ costs and weaken rivals’ ability to compete for a significant proportion of customer demand and as a result constitute a clear AEC." Google added that Microsoft's licensing practices relate to software that enjoys "significant market power," and along with "artificial restrictions," make those products significantly more expensive to be used along with a competitor's cloud.

The response also argued: "Microsoft’s rivals cannot counteract these significant price differences and artificial restrictions and the significant price differences and artificial restrictions materially disadvantage Azure’s main rivals and prevent them from competing effectively for a significant portion of the contestable demand."

AWS also responded saying: "One exception to the well-functioning nature of the market for IT services is Microsoft’s licensing practices. We are encouraged by the CMA’s attention on this topic and its emerging views. We are also optimistic about the CMA’s considerations on how best to ensure that customers can choose the IT provider of their choice to run Microsoft’s immensely popular and critical productivity software."