December 9, 2022

Microsoft’s cloud computing plans were criticised by Amazon and Alphabet subsidiary Google on Tuesday, claiming that they hinder competition and deter users from migrating to other cloud service providers.

On Monday, the US software behemoth revealed new licencing agreements and other adjustments that will go into effect on October 1 and, according to the company, will make it simpler for cloud service providers to compete. The agreements will not apply to the use of cloud services from Amazon, Google, Alibaba, or Microsoft’s own cloud service.

Microsoft’s action came after smaller European Union rivals complained to EU antitrust officials about its cloud service policies. The regulators then questioned market participants on the matter and the effects they have seen.

Google’s vice president for government affairs and policy Google Cloud Marcus Jadotte said,
“The promise of the cloud is flexible, elastic computing without contractual lock-ins,” he tweeted.
“Customers should be able to move freely across platforms and choose the technology that works best for them, rather than what works best for Microsoft,” he further said.

Amazon, the top cloud service provider, was harsh in its criticisms, “Microsoft is now doubling-down on the same harmful practices by implementing even more restrictions in an unfair attempt by limiting the competition it faces – rather than listening to their customers and restoring fair software licensing in the cloud for everyone.”

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