Active Stocks
Fri Nov 29 2024 12:24:17
  1. Tata Steel share price
  2. 144.80 0.94%
  1. Tata Motors share price
  2. 782.80 0.38%
  1. Reliance Industries share price
  2. 1,293.55 1.75%
  1. State Bank Of India share price
  2. 834.00 -0.57%
  1. ITC share price
  2. 477.65 0.52%
Business News/ Technology / News/  UK media regulator Ofcom to push for antitrust probe into Amazon, Microsoft cloud dominance
BackBack

UK media regulator Ofcom to push for antitrust probe into Amazon, Microsoft cloud dominance

British media regulator Ofcom will this week push for an antitrust investigation into Amazon and Microsoft's dominance of the UK's cloud computing market

Ofcom warned the current state of Britain's cloud computing market made it difficult for some existing customers to bargain for a good deal with their provider (Photo: iStock)Premium
Ofcom warned the current state of Britain's cloud computing market made it difficult for some existing customers to bargain for a good deal with their provider (Photo: iStock)

LONDON:British media regulator Ofcom will this week push for an antitrust investigation into Amazon and Microsoft's dominance of the UK's cloud computing market, according to two sources familiar with the matter.

The recommendation, first issued by Ofcom in April, will remain in the body's final report on the matter, set to be published on Thursday, one of the sources said.

Between them, Amazon and Microsoft enjoy a combined market share of 60-70%. Meanwhile, their closest competitor, Alphabet's Google, has around 10%.

The watchdog previously said it had considered referring the market for investigation by the CMA, the British competition regulator.

Ofcom warned the current state of Britain's cloud computing market made it difficult for some existing customers to bargain for a good deal with their provider.

Technical restrictions and discounts encouraging customers to keep using a single provider for all their needs, even when better alternatives were available, could be considered anti-competitive, the body said in a report earlier this year.

"Exciting news! Mint is now on WhatsApp Channels πŸš€ Subscribe today by clicking the link and stay updated with the latest financial insights!" Click here!

"We are concerned that constraints on customers' ability to use more than one provider could make it harder for smaller cloud providers to win business and compete with the market leaders," it read.

Both Amazon and Microsoft previously said they would continue working with Ofcom ahead of the publication of its final report.

In response to Ofcom's earlier proposal, Microsoft submitted a 58-page response, stating an investigation could ultimately harm consumers.

β€œIt would be a particularly unfortunate outcome if UK businesses and public sector customers faced less vibrant and competitive cloud solutions on a global stage than those available to their rivals in the EU, the U.S. and China," it said.

Amazon, Microsoft, and Ofcom did not immediately respond to requests for comment on Tuesday. A spokesperson for the CMA declined to comment.

3.6 Crore Indians visited in a single day choosing us as India's undisputed platform for General Election Results. Explore the latest updates here!

Catch all the Technology News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 03 Oct 2023, 08:23 PM IST
Next Story footLogo
Recommended For You