Google Cloud accuses Microsoft of engaging in monopoly practices to drive its cloud services. That could harm the development of emerging technology, such as GenAI, it states.
Google Cloud has recently resumed solid criticism of its rival Microsoft over its cloud activities, Reuters writes. This criticism comes after Microsoft and AWS are again under the scrutiny of competition authorities in the EU, UK and US because of their strong market share in the (public) cloud market. Google Cloud comes third in this market after AWS and Microsoft, but the company thus does not shy away from firm criticism on its direct competitors.
‘Monopoly practices are being extended to the cloud’
In an interview, Amit Zavery, Google’s Cloud vice president, says he is concerned that Microsoft is now extending its old monopoly practices to the cloud as well. By these old monopoly practices, he refers to the dominance the Redmond tech giant had in on-premises software, such as Office.
Zavery signals that for the (public) cloud, Microsoft is putting together a whole “walled garden” that it has complete control and ownership of. If customers would like to change anything, they would always have to turn to Microsoft, the Google Cloud top executive continues.
This would create long-term problems. Problems that could also affect next-generation technology such as AI. According to him, this would be because the tech giant forces customers to Azure in many ways.
Furthermore, he also complains about the agreements Microsoft has made with individual cloud providers, such as recently with the European advocacy group for cloud infrastructure providers CISPE. In the eyes of the Google Cloud chief, these kinds of negotiations would only solve individual problems. It would allow Microsoft to pick with whom they want to compete and with whom they don’t.
The Google Cloud chief, therefore, wants competition authorities to intervene. Especially to prevent the company from turning its own on-premises monopoly into a cloud monopoly, Zavery indicates.
Also read: Microsoft Azure is rapidly overtaking AWS
Microsoft: ‘Competition healthy’
Microsoft defends against the criticism with research, stating that it was found that competition among hyperscalers “is still healthy.” The company emphasises that it is listening to and cooperating with independent cloud providers. This by adjusting licensing terms, paying more attention to their problems and making more opportunities available to them. More than 100 of these independent providers would already benefit, according to Microsoft.
18 hours ago
