Microsoft in discussions with CISPE to clear up ‘unfair’ cloud software licensing practices

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Application huge Microsoft has opened discussions with a European cloud substitute physique that has previously raised a formal criticism in opposition to the firm over its ‘unfair software licensing practices’

Caroline Donnelly


Printed: 08 Feb 2024 15:56

Microsoft has opened discussions with the Cloud Infrastructure Provider Suppliers in Europe (CISPE) substitute physique with a stare to resolving concerns about how potentialities that depart the tech huge’s online productiveness tools on its competitors’ public clouds are charged.

CISPE confirmed the drag in a press release that said the two entities comprise opened discussions to deal with the non-profit substitute physique’s ongoing concerns about Microsoft’s “unfair software licensing” practices that it claims penalise European cloud users for looking out for to depart software they comprise in rather a number of public clouds.

“The approach is at an early stage, and it stays unsure whether or no longer these discussions will yield efficient therapies to the alleged anti-aggressive practices,” said CISPE, in a press release. “To win certain swift and efficient development, CISPE has stipulated that substantive development must be achieved within the major quarter of 2024.”

Facts of the discussions follows the filing of a formal criticism by CISPE in opposition to Microsoft in November 2022 with the European Rate’s Directorate-Fashioned for Competition (DG Comp), which observed it depart the organisation to open an investigation into the firm’s alleged anti-aggressive licensing practices.

Furthermore, research printed by CISPE in June 2023 prompt that European enterprises and public sector organisations are spending “billions of kilos extra every 365 days” to depart software they comprise within the Microsoft Azure public cloud.

In a press release CISPE released to thunder the elevating of its criticism to DG Comp final 365 days, the organisation said Microsoft’s behaviour on this front is “irreparably adverse the European cloud ecosystem and depriving European potentialities of alternative of their cloud deployments”, including: “CISPE feels it has no option however to turn out to be a formal complainant and to depart the European Rate to behave.”

In step with CISPE secretary now not unique Francisco Mingorance, its resolution to comprise DG Comp modified into once instrumental in getting Microsoft to conform to launch discussions about resolve the problem.

“Every passing day without resolution additional undermines the viability of Europe’s cloud infrastructure sector and restricts the cloud alternatives available to European potentialities,” said Mingorance.

“We are supportive of a expeditiously and efficient resolution to those harms, however reiterate that it’s Microsoft [that] need to cease its unfair software licensing practices to thunder this consequence.

Computer Weekly contacted Microsoft for a observation and modified into once told the firm “continues to work constructively with CISPE to resolve concerns raised by European cloud suppliers,” by a firm spokesperson.

CISPE is not any longer the correct organisation that has build Microsoft’s software licensing practices below the microscope of tiresome. In October 2023, the regulator Ofcom devoted a number of pages of its 254-page listing on the inner workings of the UK cloud infrastructure market to inspecting Microsoft’s behaviour in this space.

The listing said, at the time, that Microsoft disputed the “veracity of the practices as alleged within the submissions” of cloud market stakeholders who alleged the firm makes it “unattractive for purchasers to employ some Microsoft software on non-Microsoft cloud infrastructure”.

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