Google has filed an antitrust complaint against Microsoft with the European Commission, accusing the tech rival of unfair cloud computing practices. Google claims that Microsoft is leveraging its dominant market position with the Windows operating system to tie customers to its Azure cloud services and make it difficult for them to switch to competing providers.
According to a summary of the complaint obtained by the Financial Times, Google accuses Microsoft of imposing "steep penalties" for using competing cloud providers. Customers who want to move their Windows software to Azure can do so almost free of charge. However, if they want to switch to platforms like AWS, Google Cloud, or Alibaba Cloud, they would have to pay up to 400 percent more for new Windows Server licenses, according to the complaint.
Amit Zavery, Vice President for Google Cloud, commented on Wednesday in Brussels: "If I have already paid for these licenses, I should be able to use them on the platform of my choice." Google is therefore urging the EU to force Microsoft to remove restrictions on the use of competing cloud services.
The advances by Google come amid a fiercely contested global cloud market dominated by Microsoft and Amazon Web Services (AWS). The complaint could lead to an official investigation, but it may take years before a decision is made.
In July, Microsoft had already made a deal with a group of competing European cloud providers to avoid a formal investigation in Brussels. Brad Smith, President of Microsoft, stated that the company had addressed concerns and strengthened competition in the cloud sector through the deal. Microsoft expressed confidence that Google would not succeed with its complaint.
Google also accuses Microsoft of intentionally worsening the user experience for customers who move their Windows software to competing cloud providers. Additionally, Google accuses Microsoft of discrimination, as the financial penalties apply only to Azure's main competitors – AWS, Google Cloud, and Alibaba Cloud.