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Lanon Wee

Microsoft Accused by Google of Unfair Practices in Azure Cloud Unit

Google charged Microsoft for utilizing rigid licensing rules to practice a monopoly over the cloud market. The communication to the FTC affirms that Microsoft's ascendancy brings potential cyber security dangers.Google has gone through numerous anti-competition grievances and legal cases from the DOJ and the FTC. For years, Google has fended off accusations of monopolistic conduct in both the U.S. and Europe. On Wednesday, they made their own complaint to the Federal Trade Commission castigating the anti-competitive practices of renowned rival Microsoft.The letter was a reply to the FTC's inquiry regarding potential anti-competitive activities in the cloud industry, and a FTC spokesperson refused to offer any further information. Google asserts that through its Windows Server and Microsoft Offices products, Microsoft has the capacity to restrain its vast customer base to its own Azure cloud infrastructure, creating a complex "web" of licensing restrictions that disallows businesses from employing different enterprise software vendors. Google also argued that this control brings up a significant security and cybersecurity threat, referencing the SolarWinds breach as an example of an attack involving Microsoft products.Both Google and Microsoft have operations that identify and investigate cyber threats.The Department of Justice filed a lawsuit against Google in January regarding its advertising business, which was the second antitrust case it had brought against Google in a two-year period. There is also a trial scheduled for September concerning a DOJ lawsuit accusing Google of preventing competition in the online search field. In addition, three other groups of state attorneys general are suing Google over antitrust issues.In its letter to the FTC, Google maintained that the "monolithic cloud model" employed by Microsoft and Oracle is unfavorable to customers, limiting choices, and adversely affecting the growth of digital ecosystems in the U.S. and around the world.During the 1990s, Microsoft's conduct in one of the most renowned antitrust cases in U.S. history resulted in its consent to let PC manufacturers employ other companies' web browsers. For many years, Google has been defending itself against claims of monopolistic behavior in both the U.S. and Europe. However, on Wednesday, it made its own complaint to the Federal Trade Commission condemning the anti-competitive practices of its longtime rival Microsoft.The letter was sent in response to the FTC's request for comment on potential anti-competitive acts in the cloud industry; a spokesperson for the FTC refused to make any further comments.Google asserted that through its Windows Server and Microsoft Offices products, Microsoft has the capability to force its vast customer base to use its own Azure cloud infrastructure, as its licensing restrictions form a complex network that prevents businesses from diversifying their enterprise software vendors. It also stated that such control poses a significant security and cybersecurity risk, drawing attention to the SolarWinds breach as an attack that involved Microsoft products.Both Google and Microsoft have active cybersecurity practices that research and respond to cyber threats.The U.S. Department of Justice has initiated two antitrust lawsuits against Google in the last two years, one of which is scheduled to go to trial in September dealing with the allegation that Google is impeding competition in the search engine industry. In addition, three groups of state attorneys general are currently suing Google for antitrust violations.In its letter to the FTC, Google charged that the "monolithic cloud model" used by Microsoft and Oracle is detrimental to customers, restricting choices and hindering the growth of digital ecosystems in the U.S. and around the world.The most notorious antitrust case in U.S. history, which included Microsoft, concluded in the company's agreement to allow PC manufacturers to use other companies' web browsers.

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