UK government says Microsoft and AWS unfairly dominate the cloud market

Competition watchdog CMA states that AWS and Microsoft lead UK cloud sector

The Competition and Markets Authority (CMA) has launched an inquiry into the UK cloud market, raising concerns about the dominance of Microsoft and Amazon. CMA’s initial findings reveal that these two tech giants are controlling the market, impacting competition, increasing costs, limiting choices, stifling innovation, and lowering service quality for UK businesses. The research highlights that Amazon and Microsoft collectively command up to 40% of cloud service spending by UK customers, far surpassing other players like Google. Industry experts warn that the situation creates barriers for startups and smaller providers, hindering healthy competition and innovation. Matthew Sinclair from CCIA calls for swift action to address unfair licensing practices that disadvantage users. Google responds by emphasizing the need for openness and innovation in the cloud market. AWS defends its position, stating that regulatory intervention could harm customers and stifle innovation. Microsoft is yet to comment on the findings. The CMA’s inquiry may result in stricter regulations to address anti-competitive practices in the UK cloud market.

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