European Union set to investigate Microsoft for potential antitrust violations

Pranav Bhardwaj

Microsoft is reportedly on the verge of facing an antitrust investigation by the European Union (EU). According to a report from the Financial Times, the European Commission (EC) is expected to initiate an investigation into whether Microsoft’s bundling of its Teams video conference software with Microsoft 365 and its Office apps violates antitrust laws.

While rumors about this probe have circulated in the media recently, the Financial Times claims to have insider information on the timeline. The report suggests that the formal investigation by the EC could commence as early as next week, with the possibility of formal charges against Microsoft being filed in the fall.

An earlier report in April indicated that Microsoft was contemplating separating the Teams product from Microsoft 365 as a potential solution to address the EC’s concerns. However, today’s report states that Microsoft and the EC have yet to reach an agreement on whether Teams should be segregated from Microsoft 365 solely within the EU or whether it should be made available as a distinct product globally.

Moreover, there appear to be disagreements regarding the pricing of Teams as a separate offering to enable fair competition with similar products like Slack and Zoom. While Microsoft initially engaged in discussions with the EC to avoid an official investigation, the Financial Times report now suggests that such a resolution is “very unlikely.”

The European Commission has refrained from commenting on the potential probe scheduled for next week. An EC spokesperson stated that the assessment of the complaint based on standard procedures is still ongoing. Similarly, a Microsoft spokesperson has affirmed the company’s commitment to cooperating with the commission’s investigation and willingness to explore practical solutions that address concerns while continuing to serve customers effectively.

As of now, the details surrounding the alleged antitrust probe remain unconfirmed. If initiated, the investigation would delve into whether Microsoft’s bundling practices with Teams and its Office suite hinder fair competition and violate EU antitrust regulations.

Via: Neowin