The European Commission has preliminarily determined that Microsoft violated EU antitrust rules by integrating its Teams messaging and videoconferencing app with its widely used Office 365 and Microsoft 365 productivity software. The Commission, representing the 27-nation bloc's top antitrust authority, expressed concerns that Microsoft's bundling practices have restricted competition. This may have given Teams an undue advantage over rival apps, such as Slack and Alfaview, by limiting customers' choices and restricting the interoperability of competing messaging applications with Microsoft's software.
Despite Microsoft's attempts to address these concerns by offering unbundled versions of their software suites to European customers, the Commission stated these measures were insufficient to restore competition. Microsoft President Brad Smith acknowledged the Commission's clarity on remaining issues and pledged to work on resolving them. The investigation, initiated after a complaint from Slack Technologies in July 2023, underscores the EU's proactive stance in regulating Big Tech companies. Microsoft faces potential fines of up to 10% of its annual global revenue and might be required to implement additional remedies. Salesforce President Sebastian Niles praised the Commission's thorough investigation, advocating for swift actions to restore fair competition in the digital market.
