{
  "id": 14958436,
  "title": "British watchdog seeks tougher terms around Microsoft's dominance of business software",
  "url": "https://urgent.news/2026/10/16/british-watchdog-seeks-tougher-terms-around-microsofts-dominance-of",
  "topic": "tech",
  "section": "Tech",
  "published": "2026-10-16T12:44:16.000Z",
  "source": {
    "name": "The Register Software",
    "slug": "the-register-software",
    "url": "https://www.theregister.com/software/2026/10/16/british-watchdog-seeks-tougher-terms-around-microsofts-dominance-of-business-software/5303520"
  },
  "original_language": "en",
  "account": "The UK's Competition and Markets Authority (CMA) is proposing to label Microsoft as possessing strategic market status (SMS) in the realm of business software. This move would empower the regulator to take action aimed at rectifying market imbalances, and the CMA is considering other aspects for investigation as well. Regulators worldwide, including the US Federal Trade Commission (FTC) and the European Commission, are closely observing the UK's decision, as similar actions may follow. The CMA initiated an investigation in May into Microsoft's software portfolio, encompassing Word, Excel, Outlook, PowerPoint, Teams, and their associated security, server, and operating systems. The regulator is also scrutinizing whether Microsoft enjoys an \"entrenched and substantial\" market position, potentially stifling competition and diminishing buyer choice. The CMA's proposed decision, outlined in a document, invites public comments due by November 13, with a final decision slated for February 13, 2027. The regulator acknowledges Microsoft's dominance in each of the five areas investigated, including personal computer operating systems, productivity software suites, security software, server operating systems, and relational database management systems. However, customers face obstacles when switching providers, limiting their choices and weakening competitors' ability to offer alternative products. The CMA emphasizes that designating Microsoft as SMS would not imply wrongdoing, but potential interventions could involve ensuring that Microsoft's technical choices do not hinder the use of other providers, preventing bundling that restricts competition, and stopping Microsoft from using its market power to influence competition in adjacent areas, such as cloud services. Cloud providers have previously criticized Microsoft's licensing terms, stating they increase costs for deploying Microsoft products on non-Microsoft clouds. The CMA's proposed SMS designation stems from its investigations into the impact of major global players on the UK's cloud services market, which concluded with Microsoft and Amazon Web Services (AWS) committing to reduce switching barriers between clouds and multi-cloud deployments. The CMA maintains that further strides can be made to address these barriers and continues collaborating with AWS and Microsoft to achieve this goal. Additionally, the regulator is examining whether customers can freely choose the most suitable AI tools and whether alternative AI providers have equal opportunities to compete against Microsoft's Copilot. Microsoft disputes the CMA's proposed decision, asserting that their products - including Copilot - are interoperable, enabling customers to use them alongside competing services and select solutions at attractive prices that best meet their needs.",
  "summary": "Another reason for Donald Trump to hate British regulation",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 4,
    "also_reported_by": [
      {
        "outlet": "Bloomberg",
        "title": "UK Watchdog Proposes Tougher Scrutiny of Microsoft Software",
        "url": "https://urgent.news/2026/10/16/uk-watchdog-proposes-tougher-scrutiny-of-microsoft-software",
        "published": "2026-10-16T09:04:34.000Z"
      },
      {
        "outlet": "The Business Times - Companies & Markets",
        "title": "UK watchdog proposes tougher scrutiny of Microsoft software",
        "url": "https://urgent.news/2026/10/16/uk-watchdog-proposes-tougher-scrutiny-of-microsoft-software-14927141",
        "published": "2026-10-16T09:54:08.000Z"
      },
      {
        "outlet": "The Register Science",
        "title": "British watchdog seeks tougher terms around Microsoft's dominance of business software",
        "url": "https://urgent.news/2026/10/16/british-watchdog-seeks-tougher-terms-around-microsofts-dominance-of-14970261",
        "published": "2026-10-16T12:44:16.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}