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UK Launches Antitrust Probe Into Microsoft Over Business Software Dominance

By  |  May 14, 2026
UK Launches Antitrust Probe Into Microsoft Over Business Software Dominance

Britain’s competition regulator said on Thursday it has launched an investigation into Microsoft over its position in the business software market, using expanded powers designed to oversee the influence of major technology companies and potentially impose measures aimed at boosting competition.

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    The Competition and Markets Authority said it had begun a “strategic market status” investigation into Microsoft, its fourth such inquiry since the new powers were introduced last year. The probe will assess whether Microsoft’s practice of bundling products including Windows, Word, Excel, Teams, Copilot and other services may be limiting competition, according to Reuters.

    A Microsoft spokesperson said the company was “committed to working quickly and constructively with the CMA to facilitate its review of the business software market,” per Reuters.

    An SMS designation does not in itself imply wrongdoing, but it would give the regulator authority to introduce targeted interventions in the market. According to Reuters, such a designation could also allow the CMA to take action in the cloud computing sector.

    CMA Chief Executive Sarah Cardell said business software plays a central role in the British economy, with hundreds of thousands of organizations relying on Microsoft’s systems.

    “Our aim is to understand how these markets are developing, Microsoft’s position within them and to consider what, if any, targeted action may be needed to ensure UK organisations can benefit from choice, innovation and competitive prices,” she said in a statement, according to Reuters.

    Read more: Google, Microsoft, xAI Agree to US Government Oversight of New AI Models

    Microsoft is already facing antitrust scrutiny in multiple jurisdictions, including the European Union and the United States, with investigations focused on its business software, cloud computing operations and artificial intelligence partnerships, according to Reuters.

    The British investigation will also examine how competing AI companies are able to integrate with Microsoft’s business software ecosystem, per Reuters.

    The CMA has previously raised concerns over the dominant positions of both Amazon and Microsoft in cloud computing, highlighting Microsoft’s licensing practices in particular. According to Reuters, both companies agreed in March to reduce certain cloud-related fees, a move that helped avert stronger regulatory intervention at the time.

    However, the CMA said it would revisit Microsoft’s cloud licensing practices as part of the newly launched investigation. According to Reuters, the regulator expects to complete the probe by February.

    Source: Reuters