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Google Cloud Raises Antitrust Concerns Over Microsoft’s Cloud Practices

 |  February 26, 2024

Alphabet’s Google Cloud has intensified its critique of Microsoft’s cloud computing strategies, accusing its rival of pursuing a monopoly that could stifle innovation, particularly in emerging fields like generative artificial intelligence.

The scrutiny on Microsoft and Amazon’s dominance in cloud computing has heightened in various regions including Britain, the European Union, and the United States. Despite efforts, Google lags significantly behind these frontrunners in the cloud computing race.

Google Cloud’s Vice President, Amit Zavery, expressed apprehension over Microsoft’s alleged monopolistic ambitions, especially citing Microsoft’s collaboration with OpenAI, the creator of ChatGPT, as a factor that escalates concerns.

Zavery articulated, “We worry about Microsoft wanting to flex their decade-long practices where they had a lot of monopoly on the on-premise software before and now they are trying to push that into cloud now.”

Read more: Google Cloud Waives Data Transfer Fees When Moving to Rival Clouds

He emphasized the potential ramifications of Microsoft’s alleged tactics on the broader technological landscape, stating, “If Microsoft cloud doesn’t remain open, we will have issues and long-term problems, even in next generation technologies like AI as well, because Microsoft is forcing customers to go to Azure in many ways.”

Zavery urged antitrust regulators to intervene, suggesting the need for guidance and regulations to prevent what he perceives as Microsoft’s monopolistic cloud business practices.

“I think regulators need to provide some kind of guidance as well as maybe regulations which prevent the way Microsoft is building the Azure cloud business, not allow your on-premise monopoly to bring it into the cloud monopoly,” Zavery asserted.

He criticized Microsoft’s approach, describing it as creating a “walled garden” controlled solely by Microsoft, which could limit customer choices and innovation.

In the escalating competition and concerns surrounding cloud computing, Google Cloud’s stance underscores the growing complexity of the regulatory landscape and the intense rivalry among tech giants vying for dominance in the lucrative cloud market.

Source: Finance Yahoo