Thousands of UK businesses may receive compensation following a legal claim filed against Microsoft, alleging overcharging for its Windows Server software used in cloud computing. Regulation expert Maria Luisa Stasi has initiated the claim at the UK's Competition Appeal Tribunal, seeking over $1.27 billion in damages. The case, brought on an “opt-out” basis, automatically includes UK businesses unless they choose otherwise. It comes amid heightened scrutiny of the cloud computing industry by the UK’s Competition and Markets Authority (CMA), which is investigating competition concerns involving Microsoft, Amazon, and Google.
Stasi claims Microsoft’s licensing practices unfairly penalize UK businesses, particularly small firms, for choosing rival cloud providers like Google, Amazon, and Alibaba. Microsoft denies these allegations, stating its licensing terms do not significantly impact competitors' costs. The case highlights growing tensions in the cloud computing sector, which underpins modern business operations by enabling data storage, streaming, and software access. Google has also raised concerns, asserting Microsoft’s practices weaken rivals’ ability to compete effectively. Stasi argues the lawsuit aims to address Microsoft's anti-competitive behavior, reveal the extent of the overcharges, and secure refunds for affected organizations. However, with limited precedence in UK class actions, a resolution could take several years.
