EU Accepts Microsoft's Commitments to Address Teams Competition Concerns

Deep News
Sep 12

The European Commission announced on Friday that it has accepted Microsoft's commitments to address competition concerns related to its Teams platform.

Under these commitments, Microsoft will introduce versions of Office 365 and Microsoft 365 suites that exclude Teams components at reduced prices, along with implementing other adjustment measures.

"We appreciate reaching this agreement with the European Commission through dialogue, and we will now immediately begin fulfilling these new obligations comprehensively," said Nanna-Louise Linde, Microsoft's Vice President of European Government Affairs, in a statement.

The investigation was initiated following a complaint filed by Slack Technologies Inc., now owned by Salesforce, with EU regulators. German competitor alfaview also submitted similar complaints.

Regulators' preliminary findings concluded that Microsoft's bundling of Teams with office productivity applications such as Word, Excel, PowerPoint, and Outlook gave Teams an unfair competitive advantage and restricted competition in the cloud communications and collaboration products market.

Following the EU's investigation launch, Microsoft had already separated Teams from its Office suite, but regulators deemed the previous adjustment measures insufficient.

Reuters reported in May that Microsoft was expected to avoid antitrust penalties, as EU regulators were likely to accept its proposed solutions regarding Office and Teams products.

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