FTC Launches Investigation into Microsoft's Cloud Practices for Potential Anti-Competitive Behavior
Examining Claims of Market Power Misuse
The U.S. Federal Trade Commission is reportedly preparing to investigate potential anti-competitive practices in Microsoft's cloud computing division. Sources familiar with the matter indicate that the inquiry will examine claims that Microsoft might be using its strong position in productivity software to unfairly prevent customers from transferring their data to competing cloud services.
The primary concerns involve allegations that Microsoft is imposing harsh licensing conditions, substantial exit fees, and significant fee increases for customers opting to leave its Azure cloud service. There are also worries about compatibility issues, particularly accusations that Microsoft's Office 365 suite may not perform as effectively with competitor cloud platforms. The Financial Times first revealed details of the forthcoming investigation.
Currently, the FTC has not made any statements, and Microsoft has not yet responded to requests for comment regarding the issue.