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Microsoft to Sidestep EU Antitrust Fine with Teams Concessions

By  |  September 4, 2025

Microsoft Corp. is set to avert a potentially large antitrust penalty from European Union regulators after receiving positive feedback on its proposal to resolve concerns about the bundling of its Teams video-conferencing app with Office software, according to Bloomberg.

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    EU officials are preparing to accept Microsoft’s pledge to sell Teams separately from its Office 365 and Microsoft 365 packages, Bloomberg reported, citing people familiar with the matter. The decision follows a market test in which rivals and customers did not raise major objections. The move, which could be finalized in the coming weeks, represents a shift toward settlements rather than lengthy legal battles in Brussels’ dealings with U.S. tech companies.

    Per Bloomberg, the settlement requires Microsoft to lower the price of Office bundles without Teams and improve interoperability with competing services. The commitments are still in draft form, and the timing of the official approval could change. Both the European Commission and Microsoft declined to comment on the anticipated outcome.

    Related: Microsoft’s Commitment to the European Accessibility Act

    The probe into Microsoft began after Slack Technologies filed a complaint in 2019, accusing the company of abusing its market dominance. Slack was later acquired by Salesforce Inc. in a $27.7 billion deal in 2021. EU regulators previously warned that Microsoft’s practices since 2019 gave Teams an unfair edge over competitors.

    The case unfolds against a backdrop of tension between Brussels and Washington. The White House has sharply criticized the EU’s approach to regulating American tech firms, Bloomberg noted, with President Donald Trump targeting the bloc’s enforcement record. Earlier this week, the European Commission also postponed a fine against Google to avoid fueling U.S. backlash.

    In recent years, the EU has issued multibillion-euro fines against major technology firms but increasingly prefers negotiated solutions. Apple agreed to open its mobile wallet technology to competitors, while Amazon revised its marketplace practices, including changes to its “Buy Box” and restrictions on using non-public seller data.

    Source: Bloomberg