Microsoft (MSFT.O) is under fire again for its cloud computing practices, this time facing a complaint from the Spanish Startup Association. The complaint, filed with the Spanish antitrust regulator, alleges anti-competitive behavior by the tech giant (Source: Reuters)
This follows similar complaints from a European trade group last November, highlighting growing concerns around Microsoft's dominance in the cloud sector (Source: Reuters).
The Complaint: Unfair Advantage and Limited Choice
The Spanish Startup Association, representing over 700 startups, accuses Microsoft of leveraging its market power in operating systems (Windows) and productivity software (Office) to push its Azure cloud services.
The complaint alleges that Microsoft creates "artificial barriers" hindering fair competition. These barriers reportedly include:
Difficulty transferring data between cloud platforms.
Contractual terms restricting competition in software licenses.
Limited choice of cloud service providers.
The association urges the Spanish watchdog to investigate and ensure a fair playing field for all companies.
Microsoft's Growing Cloud Ambitions
Microsoft currently holds the second spot in the cloud computing market, trailing behind Amazon (AMZN.O) (Source:Reuters). However, the company is aggressively expanding its cloud business, fueled by AI features powered by OpenAI technology.
Wider Scrutiny on Microsoft's Cloud Practices
The Spanish complaint adds to the growing scrutiny Microsoft faces regarding its cloud practices. The European Commission and the UK Competition and Markets Authority are also investigating similar concerns raised by cloud rivals.
Source: Reuters
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