Microsoft Faces Antitrust Complaint from OVHcloud in Europe

OVHcloud

OVHcloud has filed a complaint with the European Commission concerning Microsoft’s business practices. According to Wall Street Journal’s sources, unfair competition is the alleged cause for having OVHcloud starting this lawsuit. The lawsuit is directed at Microsoft’s licensing practices which includes Microsoft’s Office productivity suite. According to OVHcloud, this makes using cloud services that compete with Microsoft Azure more expensive.

OVHcloud already filed the case in the summer, but it was just recently made public. The case is claimed to have been filed jointly by the French company and a number of other businesses. However, it is unknown which firms are included in the lawsuit.

Microsoft takes advantage of its strong market position, OVHcloud claims. The vendor would abuse its dominating market position in the cloud computing business, undercutting unfair competition and restricting customer choice. Microsoft’s software on other cloud services would perform less effectively than on Azure, making it harder to compete with the business. Next to that, OVHcloud claims that Microsoft’s way of doing business makes it more expensive for competitors to deploy cloud services which compete with Microsoft Azure.

Microsoft 365, Slack

It isn’t the first time that Microsoft’s Office suite and the accompanying go-to-market strategy is under scrutiny. In the summer of 2020, Slack filed an antitrust case against Microsoft. Offering Teams for free as part of the Microsoft 365 subscription, according to the business, fosters unfair competition.

The EU is presently finalizing new regulations (Digital Markets Act) that would place restrictions on how numerous U.S. businesses, including Microsoft, engage with competitors and customers.