Microsoft Agrees to Binding Commitments to Open Teams Market in EU
Microsoft has agreed to legally binding commitments with the European Commission to address concerns about its team collaboration platform, Teams. This move aims to open up the market for other providers of communication and collaboration tools in Europe.
The Commission initially found that Microsoft's bundling of Teams with its market-leading productivity applications since at least April 2019 restricted competition and gave Teams an undue advantage in the stock market today. Microsoft's initial commitments were insufficient, leading to further amendments and market testing.
Under the new commitments, Microsoft will make available versions of its Office 365 and Microsoft 365 suites without Teams at a reduced price. Customers with long-term licenses will be allowed to switch to these suites. Additionally, Microsoft will provide interoperability for key functionalities between competing tools and certain Microsoft products. Customers will also be able to move their data out of Teams to facilitate the use of competing solutions.
These commitments, which will be legally binding under EU antitrust rules, are expected to foster more competition in the market for cloud-based communication and collaboration products. Microsoft's actions aim to address the Commission's preliminary findings of restricted competition and undue advantage for Teams in the stock market.