Microsoft settles case with CISPE, avoiding formal antitrust EC probe on abusive licensing claims

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A group of 27 cloud service providers in Europe, including Amazon Web Services, have reached an agreement to settle a complaint they filed against Microsoft for alleged anti-competitive behavior. The complaint focused on the higher cost of acquiring and running Microsoft software on non-Azure clouds and the need for technical adjustments to run some programs on rival cloud services. Microsoft tried to resolve the complaint last year, but the offer was rejected. However, a new agreement has been reached, resulting in Microsoft making changes to address the complaints.

The agreement includes the launch of an enhanced version of Azure Stack HCI for European cloud providers, offering features such as multi-session virtual desktop infrastructure, free extended security updates, and pay-as-you-go licensing for SQL Server. The collaboration aims to allow European cloud providers to offer applications and services on their infrastructure.

Additionally, CISPE will create a European Cloud Observatory to oversee the development of Azure Stack HCI, involving Microsoft and cloud infrastructure operators in the region. If Microsoft fails to fulfill its commitments within nine months, CISPE reserves the right to resubmit its complaint.

As part of the settlement, Microsoft will pay a lump sum to reimburse the cost of litigation and fair software licensing campaigns over the past three years. Microsoft President Brad Smith expressed satisfaction with the resolution, emphasizing the commitment to bring more competition to the cloud computing market in Europe. However, some concerns have been raised about the lack of transparency regarding the agreement and the need for regulators to intervene to ensure a level playing field in the cloud services market.

Article Source
https://www.theregister.com/AMP/2024/07/10/microsoft_avoids_antitrust_probe/