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Microsoft is facing serious accusations from European cloud companies as tensions mount in the ongoing cloud war. The claim refers to allegations that Microsoft is using the dominant position of its Azure cloud unit to exploit and even destroy the profits of its European rivals.
Complaint:
CISPE (European Cloud Infrastructure Services Provider), the main trade association representing cloud infrastructure companies in the region, has launched a complaint crackdown against Microsoft. CISPE claims that Microsoft’s strategy, particularly the changes to its terms of use in 2019, makes competitors unfair.
According to licensing changes, companies that want to deploy Microsoft software to cloud platforms other than Azure are forced to purchase Software Assurance licenses and “portability rights”. Additionally, a perpetual license is not available on competing cloud services, so a new license must be purchased. This article sparked outrage from European cloud companies such as OVHCloud and Aruba, as well as tech giant Amazon.
Part of the Challenge:
The complaint provides incredible insight into the consequences of Microsoft’s actions. An unnamed cloud firm has seen a significant increase in revenue from sales of Microsoft products.