The case, spearheaded by Dr. Maria Luisa Stasi, accuses Vole of anticompetitive practices with its Windows Server and Azure licensing terms.
The heart of the issue lies in claims that Microsoft uses its licensing policies to steer customers towards its Azure cloud platform. The lawsuit alleges that these terms artificially inflate the costs of rival services like Google Cloud and Amazon Web Services (AWS).
Dr. Stasi said: “Put simply, Microsoft is punishing UK businesses and organisations for using Google, Amazon and Alibaba for cloud computing by forcing them to pay more money for Windows Server. By doing so, Microsoft is trying to force customers into using its cloud computing service Azure and restricting competition in the sector.”
This class action automatically includes all UK businesses unless they opt out. The suit seeks to claw back over £1 billion in compensation for what it claims are years of overcharging.
“This lawsuit aims to challenge Microsoft’s anti-competitive behaviour, push them to reveal exactly how much businesses in the UK have been illegally penalised, and return the money to organisations that have been unfairly overcharged,” Dr. Stasi added.
The case follows earlier accusations from Google that Microsoft inflates competitors’ costs to maintain its cloud dominance. Microsoft has vehemently denied the allegations but is no stranger to such scrutiny. The tech giant has faced antitrust actions, including a landmark case in the early 2000s over its Internet Exploder browser.
Should Dr. Stasi’s case succeed, Vole could suffer a severe financial and reputational hit. With compensation demands exceeding £1 billion, the outcome could reshape the cloud computing market in the UK. But legal experts predict a protracted battle as Microsoft fights the charges tooth and nail.
The UK case is part of a broader global reckoning for Big Tech:
Amazon is under investigation by the U.S. Federal Trade Commission (FTC) over allegations of marketplace manipulation.
Google is battling claims of search engine dominance and anti-competitive practices with Android.
Meta has faced criticism for acquiring competitors to stifle innovation in social media.
