The UK communications regulator has launched an investigation into the dominance of tech titans Amazon (AMZN), Microsoft (MSFT) and Google in cloud services.
The watchdog will assess how well the market is performing, as well as any barriers to new entrants in the industry that make it difficult for other companies to offer their services.
Amazon Web Service (AWS), Microsoft Azure and Google, known as “hyperscalers” due to the size of the data centers that process and store data, account for around 81% of revenue in the UK cloud market, according to Ofcom.
“We will examine the strength of competition in cloud services in general and the position of the three hyperscalers in the market,” the communications regulator said in a statement on Thursday. “We will also consider any market characteristics that may limit innovation and growth in this sector by…