A class action has been filed against Microsoft for allegedly overcharging UK companies for its Windows Server software, used in cloud computing. The lawsuit, led by regulation expert Dr. Maria Luisa Stasi, seeks over £1bn in compensation for UK businesses.
The case is filed on an “opt-out” basis, meaning all UK organizations are represented unless they choose not to be. This action is part of a larger trend of class action lawsuits against tech giants, including Facebook, Google, and mobile phone companies.
Controversial licensing practices
The claim alleges that Microsoft overcharged businesses, particularly small firms, by forcing them to pay higher prices for Windows Server. The software is essential for cloud computing, which is used by companies worldwide to store and access data online.
Microsoft’s Azure platform, a major competitor to Amazon and Google in cloud computing, may have benefited from these practices. Google has criticized Microsoft’s licensing methods, claiming they increase costs for competitors and hinder their ability to compete. Microsoft, however, strongly denies these claims, asserting that its licensing terms do not raise competitors’ costs.
The lawsuit argues that Microsoft’s actions harm UK businesses, especially small ones, and violate anti-competitive laws. It seeks to expose how much businesses have been overcharged and return those funds. The case highlights concerns about Microsoft’s impact on the cloud computing industry and its competition.