The U.S. Federal Trade Commission has intensified its investigation into Microsoft, focusing on competition in the cloud computing and artificial intelligence markets. According to Bloomberg, the FTC has recently issued civil investigative demands to several of Microsoft’s competitors to gather information on software licensing and cloud services. The probe, launched in November 2024, examines whether Microsoft’s licensing practices unfairly limit customers’ ability to use rival cloud platforms. Under former FTC Chair Lina Khan, the agency sent Microsoft detailed requests covering cloud, cybersecurity, and AI products.
With a new administration in place, FTC Chairman Andrew Ferguson is now overseeing the matter. Bloomberg reported that the FTC is seeking evidence that Microsoft “intentionally makes it harder for customers to use its offerings on rival cloud providers.” At least six companies have received demands, though both Microsoft and the FTC declined to comment. Similar concerns have emerged abroad. The UK’s Competition and Markets Authority previously identified competition issues involving Microsoft and Amazon Web Services, citing licensing limits affecting AWS and Google. In Europe, Microsoft reached a licensing compromise with Cloud Infrastructure Service Providers in Europe, earning approval from the European Cloud Competition Observatory, while the U.S. investigation remains ongoing.
