UK CMA Launches Antitrust Investigation into Microsoft's Software Ecosystem

The UK's Competition and Markets Authority (CMA) has initiated a strategic market status investigation into Microsoft's business software ecosystem. This inquiry aims to assess whether Microsoft holds significant market power, which may limit competition and customer choice. The CMA's previous investigation in 2025 revealed that Microsoft's licensing practices and cloud egress fees hindered effective software integration with other providers. Both Microsoft and Amazon are reportedly taking steps to address these concerns, including lowering egress fees and improving interoperability. The investigation is part of the CMA's broader efforts to ensure competitive pricing and product availability for UK businesses. The CMA has emphasized the importance of AI integration within Microsoft's software for enhancing productivity across sectors. The investigation follows complaints from customers about difficulties in combining Microsoft software with other providers' products. Results from this inquiry are not expected to be released soon, as previous investigations have taken significant time to conclude.

Key Points: • The CMA is investigating Microsoft's market power in business software and cloud services. • Concerns include Microsoft's licensing practices and interoperability issues with other software providers. • Both Microsoft and Amazon are working to improve customer choice and reduce egress fees.