British regulators are investigating Microsoft over its dominance in business software and related cloud licensing practices. The probe is carried out by the Competition and Markets Authority (CMA) as part of the regulator’s wider study into software markets, known as the SMS probe, which begins following the CMA’s announcement on Thursday. According to reporting, the CMA is opting to investigate Microsoft’s cloud licensing practices again as part of this broader review.
The investigation focuses on whether Microsoft’s practices in how cloud software is licensed and sold could restrict competition or disadvantage businesses. The CMA’s action indicates renewed scrutiny of the company’s commercial arrangements in the cloud market, particularly where customers rely on Microsoft products for business software needs.
The CMA’s investigation process is separate from any other regulatory actions and follows its decision to launch the SMS inquiry, which aims to understand competitive dynamics across software markets. The current step specifically targets elements of Microsoft’s cloud licensing practices within that framework.
