EU coalition urges EU to push back against gate keeping by Microsoft, files official complaint
A coalition of EU software and cloud businesses joined Nextcloud GmbH in respect of their formal complaint to the European Commission about Microsoft’s anti-competitive behavior in respect of its OneDrive (cloud) offering. In a repeat from earlier monopolistic actions, Microsoft is bundling its OneDrive, Teams and other services with Windows and aggressively pushing consumers to sign up and hand over their data to Microsoft. This limits consumer choice and creates a barrier for other companies offering competing services.
Over the last few years have grown their market share to 66% of the EU market, while local providers lost out from 26 to 16%. By heavily favoring their own products and services (so-called “self-preferencing”) or outright blocking other vendors they leverage their position as gate keepers to extend their reach in more and more neighbouring markets and push users deeper into their ecosystems. Local, more specialised vendors are unable to compete “on the merits” as the key to success is not a good product but the ability to distort competition and block market access.
“This is quite similar to what Microsoft did when it killed competition in the browser market, stopping nearly all browser innovation for over a decade. Copy an innovators’ product, bundle it with your own dominant product and kill their business, then stop innovating. This kind of behavior is bad for the consumer, for the market and, of course, for local businesses in the EU. Together with the other members of the coalition, we are asking the antitrust authorities in Europe to enforce a level playing field, giving customers a free choice and to give competition a fair chance,” said Frank Karlitschek, CEO and founder of Nextcloud GmbH
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Some media coverage
Nextcloud: Complaint to the Federal Cartel Office about Microsoft
Deutsche Softwarefirma beschwert sich beim Bundeskartellamt über Microsoft [Ed: A Bill Gates-bribed (repeatedly) 'news' site]
EU tech sector fights for a Level Playing Field with Microsoft
EU companies issue formal complaint against Microsoft OneDrive
EU companies issue formal complaint against Microsoft OneDrive Windows integration
Microsoft boosters
Microsoft Weekly: Defender for the win, trouble with Nextcloud, and ARM exclusivity
Nextcloud Asks EU to Stop Microsoft From Bundling OneDrive With
Nextcloud has asked the European Commission to stop Microsoft from pre-installing OneDrive and Teams on Windows to give competitive services a fair chance to appeal to PC users.
"Microsoft is integrating 365 deeper and deeper in their service and software portfolio, including Windows," Nextcloud says on a web page dedicated to its antitrust complaint against Microsoft. "OneDrive is pushed wherever users deal with file storage and Teams is a default part of Windows 11. This makes it nearly impossible to compete with their SaaS services."
Nextcloud CEO Frank Karlitschek said in a statement:
This is quite similar to what Microsoft did when it killed competition in the browser market, stopping nearly all browser innovation for over a decade. Copy an innovators' product, bundle it with your own dominant product and kill their business, then stop innovating. This kind of behavior is bad for the consumer, for the market and, of course, for local businesses in the EU. Together with the other members of the coalition, we are asking the antitrust authorities in Europe to enforce a level playing field, giving customers a free choice and to give competition a fair chance.
EU Companies File Formal Complaint Against Microsoft
EU Companies File Formal Complaint Against Microsoft, Fight For A Level Playing Field - TFiR
Nextcloud Forms European Coalition — Begins Antitrust Actions...
Nextcloud Forms European Coalition — Begins Antitrust Actions Against Microsoft
In IDG this week
Microsoft under fire in Europe for OneDrive bundling; legal fight brewing
Nextcloud and cloud chums fire off competition complaint...
Nextcloud and cloud chums fire off competition complaint to the EU over Microsoft bundling OneDrive with Windows
Two more articles
Microsoft accused of using Windows to push OneDrive and Teams over rivals | TechRadar
Microsoft integrates its services to phase out its competitors
EU complaint claims Microsoft anticompetitive for bundling...
EU complaint claims Microsoft anticompetitive for bundling services with Windows
Open Letter to Members of EU Parliament
Open Letter to Members of EU Parliament
Nextcloud Asks EU to Stop Microsoft From Bundling
Nextcloud Asks EU to Stop Microsoft From Bundling OneDrive With Windows
Nextcloud-led coalition complains to the EU about Microsoft...
Nextcloud-led coalition complains to the EU about Microsoft stifling competition
Microsoft's cloud business targeted by EU antitrust regulators
Microsoft's cloud business targeted by EU antitrust regulators