CMA launching investigation into Microsoft’s business software ecosystem

The UK’s Competition and Markets Authority announced that it will launch a strategic market status investigation into Microsoft’s (MSFT) business software ecosystem, commencing in May. “Hundreds of thousands of UK businesses and public sector organizations use Microsoft’s business software every day. An SMS designation would allow the CMA to act on a major concern from the CMA’s cloud market investigation – Microsoft’s use of software licensing reducing competition in cloud. It would also provide a route to ensuring a level playing field among providers at a critical moment, as AI-driven innovation reshapes competition in productivity software,” the CMA said in a statement. The CMA added: “Following engagement with the CMA, Microsoft and Amazon (AMZN) have set out actions on cloud egress fees and interoperability to support greater choice for businesses and public sector organizations in the UK. These changes will reduce expense and effort for UK customers when using more than one cloud provider. The CMA will continue active engagement with Microsoft and Amazon to ensure these actions on egress fees and interoperability truly benefit UK customers.”

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