FTC Pushes Forward with Antitrust Probe Into Microsoft’s Market Practices

The U.S. Federal Trade Commission (FTC) is continuing its broad antitrust investigation into Microsoft, which was initially launched during the final days of the Biden administration, according to a report by Bloomberg News. The probe, which has recently gained momentum, includes interviews with various companies and industry groups as part of an effort to gather information. Both Microsoft and the FTC have yet to comment on the development.

The investigation, authorized by former FTC chair Lina Khan before her departure, is focused on potential abuses of market power by Microsoft in the fields of productivity software and cloud computing. One of the major concerns is that Microsoft may be imposing restrictive licensing terms that hinder customers from switching from its Azure cloud service to competing platforms, raising suspicions of anti-competitive behavior.

As part of the ongoing probe, the FTC has requested detailed information from Microsoft regarding its data centers, supply issues related to computing power, and expected changes to its licensing policies. These developments suggest that the agency is closely examining how Microsoft’s operational strategies impact its competition and customers, particularly as the company adjusts to increasing demand in cloud services.

Additionally, the FTC is scrutinizing Microsoft’s recent decisions surrounding artificial intelligence. Specifically, the investigation includes the company’s partnership with OpenAI and its subsequent reduction in funding for its own AI projects, which may raise further concerns about its market dominance in this rapidly growing sector. The agency is also examining Microsoft’s practices in cybersecurity and AI product offerings as part of its broader inquiry into the company’s market influence.

SOURCE: REUTERS