May 13, 2024

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EU set to issue new antitrust charges against Microsoft over Teams app

The European Union is poised to bring fresh antitrust charges against Microsoft Corporation, with concerns centered around the tech giant’s videoconferencing app, Teams, according to a report from the Financial Times on Monday.

Sources familiar with the matter indicated that EU officials believe Microsoft’s practices could be disadvantaging competitors in the market.

Concerns over integration and pricing strategies

The European Commission’s main issue appears to be with the integration of Teams into Microsoft’s broader Office software suite.

Despite Microsoft’s efforts to address these concerns by offering to unbundle Teams from the Office package, EU officials remain unconvinced that these measures go far enough to ensure fair competition.

Competitors have raised alarms that Teams is tailored to function more seamlessly with Microsoft’s own software, potentially sidelining other videoconferencing apps. Furthermore, there are accusations that Microsoft’s pricing strategy makes it less attractive for customers to switch to alternative services.

Implications of EU’s potential charges

The potential antitrust charges, expected to be formalized in the coming weeks, underscore the ongoing challenges big tech companies face as they navigate global regulatory environments.

These developments are particularly significant as they reflect broader concerns over the competitive practices of major technology firms, echoing similar scrutiny in other regions, including the United States and Asia.

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