Microsoft changes cloud practices in Europe, acknowledges missteps in rivalry with Amazon – GeekWire

Microsoft President Brad Smith. (GeekWire File Picture / Dan DeLong)

Microsoft responded to criticism of its cloud licensing insurance policies in Europe with a collection of guarantees to alter its licensing practices and total rules to stage the taking part in area for native cloud suppliers.

Brad Smith, Microsoft president, outlined the adjustments in an in depth put up this morning, citing latest protection by the Monetary Instances that pointed to the potential for brand new antitrust motion in opposition to the corporate in Europe. Critics stated the corporate was wrongly tying Home windows and Workplace to Azure to gasoline its cloud progress.

The adjustments embrace the power for European cloud suppliers to supply Home windows and Workplace on a hosted foundation as a part of their very own options, unbiased of Microsoft’s cloud platform.

Smith wrote that he and others from Microsoft have held a collection of conferences with European cloud suppliers over the previous few weeks.

“A number of the most compelling suggestions for me personally got here from a CEO who stated that he felt that he ‘was a sufferer of pleasant fireplace in Microsoft’s competitors with Amazon.’ It was arduous to listen to this – however he was proper. Over the previous few years, our give attention to competing with the biggest know-how suppliers has resulted in us not being as attentive to the affect on our cloud supplier companions. We’re making adjustments to treatment this, starting in the present day.”

Whether or not the adjustments are sufficient to permit Microsoft to keep away from new antitrust motion in Europe stays to be seen. Smith acknowledged that the brand new insurance policies and rules are “very broad however not essentially exhaustive,” and stated the corporate will announce “additional steps within the months forward.”

Microsoft Cloud income reached $23.4 billion, up 32% year-over-year, in its most up-to-date quarterly report.

Microsoft is second to Amazon Net Providers however rising in total cloud market share.

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