Microsoft and Cloud Infrastructure Services Providers in Europe (CISPE), a cloud advocacy group supported by Amazon, are getting close to an agreement to drop an antitrust lawsuit that was submitted to the European Commission.
According to the report, which cited industry officials with knowledge of the proposal, the deal would see the providers withdraw an investigation request over Microsoft’s cloud-licensing agreements.
In 2022, Microsoft was accused by CISPE of unjustly leveraging its dominating position in software licencing to promote its cloud services.
The company claimed that similar to what Apple does with its ecosystem of gadgets, Microsoft’s business tactics locked users in and made it impossible for them to switch to competitors.
Microsoft argued that its cloud licencing policies are legitimate and has refuted any misconduct. However, it is said that CISPE is advocating for a solution that benefits not just its members but all cloud customers in Europe.
The announcement follows Microsoft President Brad Smith’s meeting with EU antitrust watchdog Margrethe Vestager on June 4.
Sources claim that CISPE will get a monetary payment as part of the planned settlement, and individual member companies may also receive further reimbursements.
The recent deal may result in the conclusion of the inquiry into Microsoft’s cloud-licensing arrangements, although it is still awaiting approval by CISPE members.
The trade group might receive a multimillion-euro payment as part of the agreement, and individual corporations might also receive rewards of their own.
Upon being contacted outside of usual business hours, Microsoft, Amazon, CISPE, and the European Commission did not immediately answer.
Politico reported that while CISPE stated in February that it had “opened discussions” with Microsoft to settle the disagreement, it became important to emphasise that “any remedies and resolution must apply across the sector and to be accessible to all cloud customers in Europe.”
We earlier reported that as the European Union began its first extensive probes into compliance with new Big Tech legislation, Apple, Meta, and Google could face fines totalling billions of euros.
