Google withdraws EU antitrust complaint against Microsoft

Google has withdrawn its EU antitrust complaint against Microsoft over cloud practices, days after EU regulators began investigating the sector.

Last year, Google accused Microsoft of anti-competitive tactics that allegedly locked customers into its Azure cloud platform.

Amazon leads the cloud market with a 30% share, followed by Microsoft at 20%, and Google at 13%.

The European Commission is looking into whether features of the cloud market may be strengthening the positions of Microsoft Azure and Amazon Web Services.

The probe could result in both being classified as gatekeepers under the EU’s Digital Markets Act and is expected to conclude within a year.

🔗 Source: Reuters

🧠 Food for thought

Implications, context, and why it matters.

Digital Markets Act (DMA) gatekeeper status would impose concrete anti-lock-in obligations on Amazon and Microsoft’s cloud services

Gatekeeper status under the DMA covers large platforms 1. If Amazon and Microsoft receive that label for cloud, they must support interoperability, allow data portability, and end self preferencing 1. These rules already bind seven gatekeepers that cover 23 core platform services 1.
The EU Data Act reduces cloud switching friction with cost-based egress fees, which are charges for moving data out of a provider 2. Profit driven egress charges face a full ban from January 2027, and AWS plus Microsoft have begun waiving some fees 2.
Gatekeepers must open access to third party developers with safeguards 3. They must also let rival providers connect, and lower switching costs so users can pick services freely 3. This targets cloud lock-in concerns raised in Google’s withdrawn complaint 3.

EU cloud probe creates a near-term window for multi-cloud migration vendors

Independent migration tool makers and FinOps platforms that track cloud spend should move now for EU projects as the European Commission inquiry moves ahead 4.
Egress fee changes have started 2. AWS waived 250,000 dollars in egress charges for one customer 2. Google launched cost free EU data transfers 5. Vendors that can navigate the new price rules have an opening with enterprise clients 2 5.
EU focused managed service providers, firms that run and improve client clouds, can bundle DMA compliant migration with data sovereignty (keeping data within required jurisdictions) and cost work 5. AWS holds about 32% of Europe’s cloud market, so local expertise can win deals 5.