EU Antitrust Regulators Question Microsoft’s Cloud Computing Practices

The European Union’s antitrust regulators have launched a query to Microsoft’s rivals regarding the kind of customer data required by the US tech giant as part of their Azure cloud contracts. This inquiry comes six months after a trade group, Cloud Infrastructure Services Providers in Europe (CISPE), which includes Amazon, filed a complaint about Microsoft’s cloud computing practices.

Details of the Query

The European Commission has sent a questionnaire to cloud providers asking for a list of contractual clauses that require them to report information about their European customers to Microsoft. The commission has received several complaints about Microsoft, including Azure, which they are assessing based on standard procedures. The commission wants to know the frequency of reporting, the period for which the data is requested, the format of the reporting, and whether the information is sent directly to Microsoft or to an auditor.

Consequences of Not Complying

Recipients of the questionnaire were asked whether there were contractual, actual, or threatened consequences for not complying with these clauses. Additionally, the EU watchdog wants to know if Microsoft may have used the information to go directly to the recipients’ customers.

Microsoft’s Response

Microsoft, which has been hit with over €1.6 billion ($1.8 billion) in EU fines in the previous decade for various antitrust violations, declined to comment on the matter. However, the company has made an offer to CISPE to settle the issue, and talks are currently ongoing.

The European Union’s antitrust regulators have launched an inquiry into Microsoft’s cloud computing practices, specifically Azure. The commission has asked cloud providers to provide a list of contractual clauses that require them to report information about their European customers to Microsoft. Additionally, the commission wants to know the consequences of not complying with these clauses and whether Microsoft may have used the information to go directly to the recipients’ customers. Microsoft has declined to comment but has offered to settle the issue with CISPE, and talks are ongoing.