Peter Whelan warns that the Competition and Markets Authority must promptly act against Microsoft's cloud licensing practices to prevent irreversible damage to the UK cloud services market. Microsoft has been criticized for charging higher fees to customers hosting its software on rival cloud services, intensifying existing problems related to market concentration and competition. The CMA's recommendations advocate designating Microsoft as a supplier with strategic market status to impose conduct requirements. However, Whelan cautions that the timeline for implementation could exceed nine months, delaying critical interventions.
Peter Whelan warns that the Competition and Markets Authority risks missing an opportunity to address Microsoft's harmful cloud licensing practices swiftly, potentially causing irreparable damage to the UK cloud services market.
Microsoft has faced criticism from the CMA for charging more to customers using its software in the cloud environments of competitors, exacerbating existing market concentration issues.
The CMA's provisional recommendations indicate a targeted approach to anti-competitive issues concerning Microsoft and Amazon Web Services; however, a long timeline for implementation could undermine effective action.
Whelan highlights that conferring strategic market status on Microsoft could take over nine months, and any interventions might take 18 months, delaying necessary remedies.
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