FTC to investigate Microsoft's cloud unit on antitrust concerns in last hurrah under Biden

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FTC to investigate Microsoft's cloud unit on antitrust concerns in last hurrah under Biden
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The agency, led by anti-Amazon FTC Chair Lina Khan, is looking into claims that the company is abusing its large market share, according to a report.

The Federal Trade Commission is readying an investigation into Microsoft ’s cloud-computing business as its full-throttle approach to antitrust continues in the final weeks of the Biden administration, according to a report.

The agency led by Chair Lina Khan is looking into claims that the company is abusing its market clout by enforcing terms that prevent users from moving their data from its Azure service to other cloud-computing software, people with direct knowledge of the matter Microsoft has allegedly been hiking subscription fees for those that are leaving the platform, charging sky-high exit fees and making its Office 365 products incompatible with other cloud services, the report said. Getty Images for Fast Company The regulatory agency has yet to request documents or information from Microsoft, sources told the Financial Times.NFL owner gave younger lover a cushy job on his private jet — while forcing other flight attendants to work overtime: suit“she will be fired soon,”Meta of operating as a monopoly . The commission has fought to block Microsoft’s $69 billion deal with video game maker Activision Blizzard and grocery storeRepublicans have taken issue with Khan’s aggressive approach on top Silicon Valley companies. President-elect Donald Trump has vowed to curb the “regulatory onslaught” from government agencies like the FTC.And the report cited many of the same grievances allegedly being committed by Microsoft: hefty exit fees, software licensing practices that discourage the use of other platforms and extreme “lock-in” discounts for customers who use just one cloud service.In April, UK regulators said they were investigating recent separate artificial intelligence deals by Microsoft and Amazon over concerns the partnerships would crush competition. In July, the Washington-based software company signed a $21 million deal with CISPE, a smaller European cloud service provider, to avoid an EU antitrust investigation. Cloud services has grown into an incredibly lucrative business for tech companies. Spending on cloud services reached $561 billion in 2023 and is expected to top $675 billion this year – with 20% growth in the sector thanks to generative AI expansion, Microsoft controls roughly 20% of the cloud computing market, behind leader Amazon’s 31% market share, according to Statista.It’s an ultra-competitive sector, and Microsoft has accused Google of playing dirty in the past. Last month, Microsoft accused Google of running “shadow campaigns” to slander the company’s name among regulators. In July, reports alleged Google had made a counteroffer to CISPE – the European cloud service provider that Microsoft settled with – in a failed attempt to convince them to pursue their complaint against Microsoft.Gary Vaynerchuk has some tough love for those who don't embrace AI: Ride this wave or put your head in the sand and let it kill youNFL owner gave younger lover a cushy job on his private jet -- while forcing other flight attendants to work overtime: suitTeddi Mellencamp sidesteps affair questions following cheating bombshell: ‘Multiple sides to every story’Getty Images for Fast Company

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