Google accuses Microsoft of unfair competition because of cloud services

 

Google accuses Microsoft of unfair competition because of cloud technologies

Google has filed a complaint with the European Union's antitrust authorities about Microsoft's anticompetitive behavior. Google believes Microsoft products make it difficult for their customers to use cloud services from other providers

Google has accused Microsoft of anti-competitive practices over cloud computing, Reuters reported, citing a comment by Google Vice President Amit Zaveri.

“Microsoft definitely has a very anti-competitive stance on the cloud. They use their dominance in the local market, as well as Office 365 and Windows, to tie [their cloud platform] Azure and other cloud services and make it harder for customers to choose,” Zaveri said. According to him, from conversations with customers, Google understands that the terms of licensing agreements and pricing policies of other companies are arranged in such a way that it is difficult for them to work with products of other cloud service providers.

Those small companies that complain the most, Microsoft buys, thus linking them with its company, but the corporation does not change its policy regarding products from other suppliers, Zaveri said.

He added that Google has urged European Union competition authorities to take a close look at the situation. At the same time, Zaveri denies that this is due to the interests of Google itself. The point, he says, is how the "clouds" themselves are designed, the raison d'être of which is to allow customers to run their software anywhere "in a much simpler way."

The European Commission declined to comment on the agency.

There is fierce competition between cloud services from Google, Amazon, and Microsoft, explains Reuters. The cloud services niche is getting more and more attention from regulators in the US and UK due to the dominance of a few big players in this market, including Google and Microsoft.

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According to data on the share of large companies in the market for cloud services, published in a Microsoft blog last year, the company receives approximately 20% of global revenues from cloud services. In the first place is Amazon, which receives approximately 33% of these revenues. Google, in turn, ranks third with a share of about 10%.

Responding to a Reuters query about Google's claims, Microsoft cited President Brad Smith's statement that the company "has a "healthy second position when it comes to cloud services, with a market share of just over 20%." The company also stated that they are committed to the principles of the European Cloud Community (European Cloud Community) and its success.