The European Commission has intensified its scrutiny of Microsoft, formally charging the company with antitrust violations for bundling its Teams app with its Office productivity suite. The charge follows a series of complaints, notably from Slack Technologies and Alfaview GmbH, that began in July 2023, alleging that Microsoft’s practices stifled competition and innovation in the communication and collaboration software markets. Despite unbundling Teams in Europe and making changes to improve interoperability with competitors, the Commission found these changes insufficient. Microsoft, under President Brad Smith, has expressed a commitment to addressing the Commission’s concerns. However, if found in breach of EU competition rules, Microsoft could face a fine of up to 10% of its global annual revenue or be forced to implement additional corrective measures. This case highlights the ongoing tension between large tech companies and regulatory bodies over market dominance and fair competition practices.
Key points
- The European Commission has charged Microsoft with antitrust violations for bundling Teams with its Office suite.
- Investigation began after complaints from Slack Technologies and Alfaview GmbH in July 2023.
- Microsoft could face a fine of up to 10% of its global annual revenue if found in breach of EU competition rules.
- Microsoft has attempted to address concerns but the Commission deems efforts insufficient.