Google however said such a move would not solve broader concerns about Microsoft's licensing terms.īoth Microsoft and AWS said they would continue to work with Ofcom ahead of the publication of its final report in October. Microsoft has offered to change its practices to settle antitrust complaints filed by smaller cloud computing rivals to EU antitrust regulators, a person with direct knowledge of the matter said last month. The fast-growing, multi-billion-dollar cloud computing business has attracted attention from regulators in Europe as well as Britain. "We think more in-depth scrutiny is needed to make sure it's working well for people and businesses who rely on these services." "High barriers to switching are already harming competition in what is a fast-growing market," Ofcom director Fergal Farragher said. Ofcom said technical restrictions and discounts to encourage customers to use a single provider for all their needs even when better quality alternatives were available could also be anti-competitive. Alphabet's Google (GOOGL.O), their closest competitor, has just 5-10%. Ofcom, which started looking into cloud services last year, said it was particularly worried about the practices of Amazon Web Services (AWS) and Microsoft because of their market positions, and planned to ask the competition regulator to investigate.Īmazon and Microsoft have a combined market share of 60-70%. LONDON, April 5 (Reuters) - Amazon (AMZN.O) and Microsoft (MSFT.O), the two dominant cloud providers, face an antitrust investigation in Britain after the communications regulator said some aspects of the market, including fees to switch supplier, were a cause for concern.
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