Google again calls for EU action against Microsoft cloud licensing

Google again calls for EU action against Microsoft cloud licensing

Google is once more reminding the European Commission that Microsoft’s cloud licenses undermine competition.

Google is taking aim at Microsoft’s cloud licenses again. In a blog post, the search giant reminds European regulators that it filed a complaint with the European Commission exactly a year ago, with little to no progress since.

What’S Going on?

According to Google, Microsoft’s licensing terms make it much more expensive to run Windows Server or SQL Server licenses with competing cloud providers like AWS and Google Cloud, while customers moving to Azure are allowed to bring their existing on-prem licenses at no extra cost.

Those terms can make the price of using cloud services with competitors up to five times higher, Google says, effectively pushing companies toward Azure. The UK’s Competition and Markets Authority (CMA) previously stated that the rules limit cloud choice but hasn’t imposed any remedies yet. An investigation is still ongoing in the US.

CISPE Deal and Divisions

The European cloud lobby CISPE withdrew its complaint in 2022 after financial compensation and revised terms from Microsoft, writes The Register. Google, however, calls that deal a “payoff,” because the restrictions for major rivals AWS and Google remained untouched.

According to Google, Microsoft’s policy still goes further today, stifling innovation and growth. “Restrictive cloud licenses harm businesses and Europe’s competitiveness.” Google is urging the European Commission to take action as soon as possible.