EU Antitrust Probe Looms for Microsoft as Remedies Fall Short

Microsoft is likely to face an antitrust investigation by the European Union (EU) in the coming months

Microsoft is likely to face an antitrust investigation by the European Union (EU) in the coming months. The discussions aimed at resolving the issue and avoiding such an investigation have apparently reached an impasse, According to Reuters.

Microsoft, a company that has previously been fined 2.2 billion euros ($2.4 billion) for violating EU competition rules, including the practice of bundling multiple products together, finds itself under scrutiny once again following a complaint filed by Slack, the workspace messaging app owned by Salesforce, in 2020.

The allegation made by Slack is that Microsoft unfairly integrated its workplace chat and video app, Teams, into its Office product. In 2017, Microsoft introduced Teams for free within Office 365, eventually replacing Skype for Business.

In an attempt to prevent an investigation, Microsoft initiated talks with the European Commission last year. As part of its proposal, the company offered to reduce the price of its Office product by excluding the Teams app.

However, sources indicate that the European Commission is seeking a more substantial price reduction than what Microsoft has offered thus far.

The European Commission declined to provide any comments on the matter, while a Microsoft spokesperson stated that the company remains engaged in cooperative discussions with the Commission. Microsoft is open to finding practical solutions that address the Commission’s concerns and ultimately benefit customers.

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