Microsoft is reportedly the subject of a wide-ranging probe into its practices across a range of areas by the Federal Trade Commission (FTC), which is taking an in-depth look at the company’s activities across AI, cloud computing, software licensing and more.
Bloomberg reported the FTC opened the investigation after spending a year gathering views from the company’s competitors and business partners, and had now issued Microsoft a document which is hundreds of pages long outlining what information it needs to provide.
Spotlight on the company from the regulator apparently increased after a series of cybersecurity incidents involving Microsoft’s cloud computing products. Notably, Microsoft is a top supplier to the government, which spends billions of dollars on software and cloud services, added Bloomberg.
Earlier this year, cybersecurity company Crowdstrike blamed a defective update for causing a widespread outage, hitting companies and sectors using Microsoft applications and devices severely.
The move against Microsoft is one of FTC chair Lina Khan’s final acts before she departs. It will likely fall on her successor, yet to be named by President-elect Donald Trump, on how to proceed with the case.
Sources told Bloomberg the probe is focused on Microsoft’s move to bundle its Office productivity and security software services with its cloud offering, as well as its cybersecurity failings.
Competitors have apparently also hit out at Microsoft’s licensing terms and bundling practices, making it harder for rivals to challenge the technology giant.
Antitrust lawyers are to meet Microsoft competitors next week to gather more information about its business practices, added the news outlet.
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