The claim further alleges that Microsoft is exploiting its position to overcharge U.K. businesses, knowing they rely heavily on its software. Stasi argues that the higher fees are a deliberate strategy to push customers away from rival platforms in favor of Azure, making it harder for other cloud providers to compete.
Previous Criticism of Microsoft’s Licensing Practices
This class action comes amidst growing scrutiny over Microsoft’s licensing practices. In 2023, Ofcom, the U.K. telecommunications regulator, called for a review of the cloud services market, citing issues that prevent customers from easily switching between providers. In the same year, both Google and Amazon urged the CMA to investigate Microsoft’s practices, claiming they stifle competition.
Microsoft is also embroiled in a separate legal dispute with software reseller ValueLicensing, which is suing the company for £270 million over allegations that it has hindered the supply of pre-owned software licenses in the U.K. and the European Economic Area.
