Microsoft\u2019s Azure cloud business is set to be hit by a formal complaint from South African antitrust watchdogs amid growing concerns from regulators across the world that the US tech giant is abusing its market power to squeeze out rivals.<\/p>\n\n\n\n
According to people familiar with the filing, who spoke on condition of anonymity, the South African Competition Commission will accuse Microsoft of charging too much for businesses to switch their cloud licenses to other vendors.<\/p>\n\n\n\n
The move, likely in the coming days, could set the stage for a legal battle that could result in a fine of up to 10% of the firm\u2019s revenue in the African nation.<\/p>\n\n\n\n
Microsoft\u2019s Azure cloud business has also been targeted by other global regulators \u2014 including the European Union, which is currently subject to an informal investigation by watchdogs.<\/p>\n\n\n\n
The UK\u2019s competition regulator has also started a probe into the cloud market, where it is examining in part how Microsoft\u2019s Azure terms may be limiting competition.<\/p>\n\n\n\n
Microsoft said the company was not aware of a complaint by the South African competition authority but was standing ready to answer any questions about their software licensing policies.<\/p>\n\n\n\n
\u201cMicrosoft implemented software licensing changes two years ago which apply globally and enable South African customers to bring their Microsoft software licenses to any South African cloud provider at no additional cost,\u201d said a Microsoft spokesperson.<\/p>\n\n\n\n
The South African regulator declined to immediately comment.<\/p>\n\n\n\n
Like regulators across the world, the South African watchdog has been cracking down on Big Tech in recent years and firms\u2019 alleged abuses of market power.<\/p>\n\n\n\n
Last year, Google was ordered to improve the visibility of smaller South African companies in search results and pay for the training of smaller platforms.<\/p>\n\n\n\n
Officials are currently probing whether artificial intelligence models and digital and social media platforms managed by services, including Microsoft\u2019s Bing, are limiting the nation\u2019s news and media companies\u2019 ability to generate revenue.<\/p>\n\n\n\n