Microsoft has entered discussions with the Cloud Infrastructure Services Providers in Europe (CISPE) to address its ongoing antitrust case in Europe.
The case relates to the company’s unfair dominance of the cloud market, which is reported to have been boosted by technical and financial limitations, causing customers to be locked into Microsoft’s own services.
According to Reuters, Microsoft’s approach to resolving the issue could see the company avoid a full-on EU investigation, which could result in fines, mandates, and significant reputational damages.
Microsoft is trying to reach a deal with CISPE
CISPE, which represents 26 EU cloud providers, including Amazon (but not Google), filed the complaint with the European Commission late in 2022, alleging that Redmond’s licensing terms were harming competition in the EU.
In a statement (via Reuters), CISPE confirmed: “Today, CISPE confirms that it has opened discussions with Microsoft aimed at resolving ongoing issues related to unfair software licensing for cloud infrastructure providers and their customers in Europe.”
Discussions are in the early stages, but both parties are actively exploring potential resolutions. CISPE noted that “substantive progress” must be made within the first three months of 2024, alluding to the fact that the added pressure on Microsoft may see the company reach an agreement before an EU investigation goes ahead.
Microsoft has racked up $1.7 billion in antitrust fines over the past decade, and that’s just within the European Union. The company has been seen to mellow in recent years, taking a more accommodating approach to avoid further penalties.
At the same time, other companies have also started to improve interoperability, likely due to mounting pressure within the EU for a more competitive landscape.
TechRadar Pro has asked Microsoft and CISPE for further information – neither immediately responded.
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