“This should be addressed without any further delay.” “Behavior as described above is at the core of this dramatic level of growth of the global tech giants in Europe,” Karlitschek said. “It illustrates anti-competitive practices such as ‘self-preferencing’ on the basis of the market dominance of Windows.”įrank Karlitschek, CEO and founder of Nextcloud, also pointed out in his blog that over the last several years, Microsoft, Google, and Amazon have grown their market shares to 66 per cent of the total European market, while local European software and service providers have declined from 26 per cent to 16 per cent. “Microsoft’s combination of the dominant Windows (operating software) with the OneDrive (cloud) offering makes it nearly impossible to compete with their SaaS services,” Nextcloud said in a blog post. Lead by Nextcloud, a coalition of European Union (EU) software and cloud organisations and companies formed the ' Coalition for a Level Playing Field'. In the complaint, Germany-based Nextcloud told the European Commission (EC) that Microsoft is aggressively bundling its OneDrive cloud, Teams, and other services with Windows 10 and 11. Given that cloud and OS integration is now the norm when it comes to major platforms like Android, iOS, and of course Windows, do our readers think NextCloud has a point or are they stuck in the past? Let us know below.File-hosting service provider Nextcloud, backed by 29 other European companies, has filed a complaint with the European Union and German antitrust authorities against Microsoft for what it’s calling anti-competitive behavior related to the OneDrive cloud storage offering. Microsoft is increasingly being targeted in the European Union, with the company facing yet another challenge from Slack in the EU. This will give European consumers a free choice among service providers that must compete fairly on their merits. And that Microsoft must support open standards and interoperability.Do not abuse Microsoft’s dominant position in the OS and related markets (for example, by bundling, pre-installing, or taking advantage of additional Microsoft services) while maintaining a level playing field.NextCloud and their “Coalition for a Level Playground” say these intentional abuses need to be addressed immediately. Together with the other members of the union, we are asking European antitrust authorities to enforce a level playing field, to give our customers free choice and to give them a fair chance for life. This kind of behavior is bad for consumers, for the market, and of course, for local businesses in the EU. Copy the innovators’ product, combine it with your own dominant product and kill their business, then stop innovating. This is quite similar to what Microsoft did when it killed competition in the browser market, suppressing nearly all browser innovation for more than a decade. They argue that behavior like the one described above is at the core of this massive growth of global tech giants in Europe, and is very similar to what happened in the late 1990s when Microsoft combined Internet Explorer with Windows, thereby destroying Netscape.įrank Karlitschek, CEO and Founder of Nextloud, said: The effect is that when it comes to cloud storage, over the years Microsoft, Google, and Amazon have increased their share to 66% of the total European market, with local (European) providers down from 26% down 16%. It illustrates anti-competitive practices such as “self-priority” on the basis of Windows’ market dominance. They argue that the combination of dominant Windows (operating software) with the OneDrive (cloud) offering makes it nearly impossible for Microsoft to compete with their SaaS offerings. Another example is Microsoft’s “Teams” which is being successfully marketed as a default part of Windows 11. Windows whenever Windows users deal with file storage. They assert Microsoft is integrating “Microsoft 365” more deeply into their broader portfolio of software and services, including Windows, noting that Microsoft’s “OneDrive” is privileged to be selected in its operations. operations to expand into unrelated areas like collaboration and the cloud. A coalition of EU companies, led by file storage company Nextcloud, has filed a complaint with the EU as well as German antitrust authorities, alleging that Microsoft is abusing its dominant position in the system.
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