Britain's Competition and Markets Authority (CMA) has raised concerns about competition in the cloud computing market, specifically targeting Amazon Web Services (AWS) and Microsoft's Azure unit. An independent CMA inquiry group recommended investigating these companies under new digital markets legislation, citing limited choices for businesses and the dominant market share held by AWS and Microsoft.
A U.K Competition and Markets Authority inquiry group on Tuesday provisionally recommended that the regulator should consider investigating Amazon Web Services and Microsoft's Azure cloud unit under new digital markets legislation.
The regulator called AWS and Microsoft"the two large providers of cloud services, each with a share of up to 40% of UK customer spend on cloud services." In a statement, the CMA said it estimates the cloud services market was worth £9 billion in 2023 — a figure growing over 30% year-on-year. The CMAthat, currently, businesses face a limited choice of providers when it comes to cloud services.The regulator called AWS and Microsoft"the two large providers of cloud services, each with a share of up to 40% of UK customer spend on cloud services.
An AWS spokesperson said the CMA's recommended intervention"is not warranted," adding that"the evidence demonstrates the IT services industry is highly competitive."
CLOUD COMPUTING COMPETITION AMAZON WEB SERVICES MICROSOFT AZURE UK REGULATOR
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