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Microsoft to unbundle Teams from Office in bid to allay EU antitrust concerns

Economic Times

Economic Times · 1y ago

Microsoft to unbundle Teams from Office in bid to allay EU antitrust concerns

Microsoft will separate its Teams chat and video app from its Office product to address concerns of anti-competitive behavior and avoid potential EU antitrust fines. The move follows a European Commission investigation prompted by a complaint from Slack in 2020. The changes will allow customers to choose a business suite without Teams and enhance interoperability with rival communication solutions. Teams will be offered at a lower price to enterprise customers in Europe, and Microsoft will develop a method for hosting Office web applications within competing apps and services. The changes will be effective from October 1st in Europe and Switzerland.

Related News

Microsoft to unbundle Office and Teams globally following years-long criticism

TechCrunch · 1y ago

Microsoft to unbundle Office and Teams globally following years-long criticism

Microsoft is releasing a new version of its Microsoft 365 and Office 365 subscription services that will exclude Teams, following regulatory scrutiny from the European Union and complaints from competitor Slack. Last year, Microsoft agreed to sell Office 365 without including Microsoft Teams in the EU and Switzerland. Businesses have argued that Microsoft has an unfair advantage by bundling the two offerings together. Microsoft stated that the unbundling addresses feedback from the European Commission and provides more flexibility for multinational companies. The new Office 365 lineups are set to be introduced soon.

Microsoft to separate Teams and Office globally amid antitrust scrutiny

Economic Times

Economic Times · 1y ago

Microsoft to separate Teams and Office globally amid antitrust scrutiny

Microsoft will now offer its chat and video app Teams separately from its Office product worldwide, following its earlier unbundling in Europe. This move aims to avoid any potential antitrust fines from the European Commission, which has been investigating Microsoft's tying of Office and Teams since a complaint by rival app Slack. While bundling the products together has given Microsoft an advantage, the company believes that offering Teams separately provides more flexibility for multinational companies. Microsoft is introducing new Microsoft 365 and Office 365 packages without Teams outside of Europe, as well as a standalone Teams offering for enterprise customers in those regions.

Microsoft breached antitrust rules by bundling Teams with office software, European Union says

Economic Times

Economic Times · 1y ago

Microsoft breached antitrust rules by bundling Teams with office software, European Union says

Microsoft has been accused by the European Union of violating antitrust rules by bundling its Teams messaging and video conferencing app with its business software. The European Commission believes that Microsoft restricted competition by tying Teams to core office productivity applications and not giving customers a choice. The Commission is concerned that this gives Teams an unfair advantage over competitors and inhibits innovation in the market. Microsoft has made some changes in response but the Commission says more needs to be done. The company could face a fine or be required to implement remedies. Rival company Slack has filed a complaint alleging that Microsoft abused its dominance.

South Africa to investigate Microsoft over cloud computing licensing practices

Economic Times

Economic Times · 1y ago

South Africa to investigate Microsoft over cloud computing licensing practices

The South African antitrust agency plans to investigate Microsoft over its cloud computing licensing practices, following a similar case in the European Union. Although Microsoft stated that it is unaware of any complaint filed by the South African competition authority, the source suggests that the investigation will resemble that of the EU antitrust case. This comes after rivals in several European countries, including Germany and France, raised concerns about Microsoft's new contractual terms.

Microsoft's OpenAI partnership could face EU antitrust probe, sources say

Livemint

Livemint · 1y ago

Microsoft's OpenAI partnership could face EU antitrust probe, sources say

Microsoft's investment of $13 billion in OpenAI could face an antitrust investigation from the European Union (EU), as regulators are gathering evidence to determine if the partnership restricts competition within the EU internal market or if Microsoft's market power distorts the market through certain practices. The EU antitrust regulator has reportedly decided not to investigate the partnership under EU merger rules but may still opt for an antitrust investigation. Microsoft has a non-voting position on the OpenAI board and claims no ownership of the ChatGPT maker. The investigation is still in its early stages and no decision has been made.

EU drops sovereignty requirements in cybersecurity certification scheme: document

Economic Times

Economic Times · 1y ago

EU drops sovereignty requirements in cybersecurity certification scheme: document

The European Union has scrapped a requirement for vendors bidding for EU cloud computing contracts to be independent from non-EU laws. This change could make it easier for tech giants such as Amazon, Google, and Microsoft to bid for these contracts. The EU has been struggling to agree on a cybersecurity certification scheme (EUCS) to ensure the cybersecurity of cloud services. The move comes as Big Tech seeks growth opportunities in the government cloud market, while the EU has concerns about illegal state surveillance and the dominance of US cloud providers. The latest draft of the rules removes requirements for joint ventures and data storage in the EU, instead focusing on information about data location and applicable laws. EU countries are currently reviewing the revised draft.

German competition watchdog vows closer eye on Microsoft

Economic Times

Economic Times · 11m ago

German competition watchdog vows closer eye on Microsoft

- Germany's competition watchdog has classified Microsoft as a company with paramount cross-market significance for competition. - Microsoft's products are widely used and essential in companies, public authorities, and private households. - The Bundeskartellamt's classification means that Microsoft will face stronger supervision and potential bans on anti-competitive practices. - The new powers also apply to Apple, Google, and Meta, putting them under the same scrutiny. - Microsoft recognizes its responsibility to support a healthy competitive environment and pledges to work proactively and collaboratively with the Bundeskartellamt. - In June, the European Commission charged Microsoft with antitrust violations related to its integration of Teams with its Office product.

WhatsApp banned on US House of Representatives devices

Economic Times

Economic Times · 2m ago

WhatsApp banned on US House of Representatives devices

Meta’s WhatsApp has been banned from U.S. House devices due to cybersecurity concerns, as noted in a memo to all House staff. The Office of Cybersecurity cited issues with transparency, data protection, and encryption, suggesting alternatives like Microsoft Teams and Signal. Meta opposed the decision, claiming WhatsApp offers superior security. Previously, the House also banned TikTok for similar reasons. This move underscores ongoing concerns over digital privacy and security.

EU vs Big Tech: the cases keep mounting

Economic Times

Economic Times · 1y ago

EU vs Big Tech: the cases keep mounting

The European Union has initiated various investigations and complaints against big tech companies concerning user data and privacy issues. Amazon has been asked to provide information about its compliance with the Digital Services Act (DSA). Meta (formerly Facebook) has faced allegations of breaching digital competition rules by giving users the option to pay for ad-free versions of its platforms. Microsoft's partnership with OpenAI is being scrutinized by EU regulators. The EU has accused Microsoft of violating antitrust rules by bundling its Teams app with its business software. Apple has been charged with breaching the EU's Digital Markets Act for its App Store rules. The EU is also planning to impose customs duties on goods bought from Chinese online retailers.

Microsoft singles out Google's competitive edge in generative AI

Economic Times

Economic Times · 1y ago

Microsoft singles out Google's competitive edge in generative AI

Google, the Alphabet unit, has a competitive advantage in generative artificial intelligence (AI) due to its vast data and AI-optimized chips, according to Microsoft's response to an EU antitrust consultation. Microsoft highlighted concerns about the growing popularity of generative AI, which can generate human-like responses and its potential for misinformation. The report stated that Google's vertical integration, from chips to app stores, gives it an edge, while its access to proprietary data from Google Search Index and YouTube helps train its language model Gemini. Microsoft also defended partnerships in the AI space to promote competition and prevent anticompetitive advantages.

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