FTC Launches Broad Antitrust Probe into Microsoft

The U.S. Federal Trade Commission is investigating Microsoft for possible antitrust violations involving its software licensing and cloud computing businesses. This comes as Donald Trump's election raises expectations of a softer stance toward business. The probe scrutinizes Microsoft's Azure service and AI products amid competitive concerns.

The Federal Trade Commission has initiated a comprehensive antitrust investigation into Microsoft, centering on its software licensing and cloud computing business practices, according to a source familiar with the investigation. This probe, spearheaded by FTC Chair Lina Khan, emerges ahead of her potential January departure. With Donald Trump re-elected as U.S. president, his anticipated appointment of a Republican favorable to business interests casts uncertainty on the probe's outcomes.

The investigation targets allegations that Microsoft may be leveraging its market power in productivity software, allegedly imposing restrictive licensing conditions to deter customers from migrating data from its Azure cloud service to rival platforms. Additional scrutiny involves Microsoft's cybersecurity and artificial intelligence offerings, as confirmed by sources.

While Microsoft has remained silent on the specifics of this investigation, the FTC has previously received grievances about the tech giant from competitors. NetChoice, representing several major online firms, criticized Microsoft's aggressive licensing and AI integration strategies, highlighting the overarching impact given Microsoft's dominance. Meanwhile, other tech companies like Meta, Apple, Amazon, and Google are also facing similar regulatory challenges.

(With inputs from agencies.)