Google Drops EU Antitrust Case Against Microsoft
▼ Summary
– Google withdrew its 2024 antitrust complaint against Microsoft’s cloud licensing practices as EU regulators launched a new probe into Azure and Amazon Web Services.
– Google stated the withdrawal does not mean it is backing down and that it still stands behind the concerns raised in its original complaint.
– The new EU investigation under the Digital Markets Act (DMA) could reshape the cloud infrastructure that supports many ad-tech and AI tools.
– If the probe forces changes to Azure, it may lead to more competition, lower costs, and better interoperability across advertising and analytics platforms.
– The situation signals a shift in regulatory focus, with EU authorities now directly investigating the cloud giants under tougher rules.
The withdrawal of Google’s antitrust complaint against Microsoft coincides with a significant new investigation by European Union regulators into cloud computing practices, a move that could fundamentally alter the competitive landscape for the digital advertising and analytics industries. Google removed its formal objection, which centered on Microsoft’s cloud licensing, just as the European Commission initiated probes into both Microsoft Azure and Amazon Web Services under the powerful Digital Markets Act (DMA). Google has clarified that this step does not represent a concession but rather a strategic shift as regulatory focus intensifies.
Google’s initial complaint alleged that Microsoft employed restrictive software licensing terms to deliberately disadvantage rival cloud services. This legal filing arrived shortly after Microsoft resolved a separate, similar dispute with the European cloud trade group CISPE. According to Giorgia Abeltino, Head of Public Policy for Google Cloud Europe, the complaint was intended to amplify the voices of their customers and partners. She emphasized that the company continues to support the core concerns it originally raised about market fairness.
The implications of the EU’s fresh investigation are profound for the marketing and advertising sector. The infrastructure provided by major cloud platforms forms the backbone of countless ad-tech tools, performance measurement systems, and critical AI-driven workflows. Should regulators compel changes to Azure’s business practices, such as its licensing models or market conduct, the result could be a more competitive environment. This might lead to reduced operational costs, enhanced interoperability between different analytics and automation platforms, and greater innovation. In essence, the dynamics of cloud competition directly influence the cost, speed, and reliability of the essential tools marketers use daily.
This development occurs within a broader regulatory context. Other divisions of Microsoft and Amazon, including the Windows operating system and Amazon’s online marketplace, are already designated as “gatekeepers” under the DMA, subjecting them to stringent rules aimed at ensuring fair competition. The European Commission has stated it will maintain vigilant oversight of the cloud services market. Microsoft has offered no public comment on the recent developments.
The bottom line is that Google’s decision to withdraw its complaint signals a change in tactics, not a surrender. The regulatory battleground has now moved to a new front, with EU authorities applying the direct and potent provisions of the DMA to scrutinize the cloud operations of Microsoft and Amazon. This shift suggests that the dominant cloud providers may soon encounter more explicit and potentially stricter regulations governing their activities in the European market, with wide-reaching consequences for businesses that rely on their services.
(Source: Search Engine Land)
