The EU has charged Microsoft for violating antitrust rules by bundling Teams into the Office 365 and Microsoft 365 suites, which allegedly limits competition in the market for communication apps. The European Commission claims that this gives Microsoft an unfair advantage due to the popularity of its business productivity tools like Excel, Outlook, and PowerPoint. Customers who use these tools may not seek out alternative communication apps, as Teams is automatically included with the suite. Microsoft President Brad Smith has stated that they are working to address the Commission’s concerns. Companies like Slack’s parent Salesforce have welcomed the charges as a win for customer choice and competition.
The charges were brought about through a Statement of Objections, which outlines the Commission’s findings that Microsoft may have violated EU antitrust laws. This stems from complaints by Slack and alfaview, accusing Microsoft of anti-competitive practices related to the installation and cost of Teams during the COVID-19 pandemic. Microsoft has taken steps to address concerns but the Commission deems them insufficient.
If found guilty, Microsoft could be fined up to 10% of its annual turnover and face remedies to restore competition. This is not the first time Microsoft has faced antitrust charges, as previous investigations led to fines and changes in business practices. The EU has also been cracking down on other tech giants like Apple, Meta, Alphabet, Amazon, TikTok, and X for alleged anti-competitive behavior.
