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Alphabet’s Google Cloud has intensified its criticism of Microsoft’s cloud computing strategies. According to an exclusive report by Reuters, the company asserts that Microsoft is seeking a monopoly, which could hinder the development of emerging technologies like generative artificial intelligence. Google, currently trailing behind Microsoft and Amazon, raises concerns about the impact of Microsoft’s practices on the cloud market.
Recently, during an interview, Google Cloud Vice President Amit Zavery expressed apprehension about Microsoft’s transition from on-premise software dominance to cloud services. Zavery said that Microsoft’s approach risks creating a closed ecosystem, where customers are compelled to use Microsoft’s offerings exclusively. “We worry about Microsoft wanting to flex their decade-long practices where they had a lot of monopoly on the on-premise software before and now they are trying to push that into the cloud now,” Zavery told Reuters.
He further warned that if Microsoft’s cloud remains closed, it could lead to long-term challenges, especially in next-generation technologies like AI.
Google wants regulators to act
Zavery called for antitrust regulators to intervene, urging them to provide guidance and regulations that prevent Microsoft from leveraging its on-premise monopoly to establish a cloud monopoly. “I think regulators need to provide some kind of guidance as well as maybe regulations which prevent the way Microsoft is building the Azure cloud business, not allow your on-premise monopoly to bring it into the cloud monopoly,” Zavery said.
Zavery also reportedly criticised Microsoft’s agreements with individual cloud vendors, saying these ignore the broader issues. “Microsoft has been very smart, picking individual vendors who complain and do one-sided deals but they don’t solve the broader problem. So they can choose the winners and losers in many cases as well, so they kind of pick who they want to compete with,” Google Cloud VP said.
Microsoft dismisses the charges
In response, Microsoft defended its practices, citing healthy competition among cloud hyperscalers. The company pointed out that, according to independent data, both Microsoft and Google made modest gains compared to AWS (Amazon Web Services), which continues to dominate the global market.
Microsoft president hits back
Microsoft President Brad Smith also weighed in, subtly referencing Google’s position. He highlighted that only one company currently integrates every layer of AI, from chips to a thriving mobile app store. “Today, only one company is vertically integrated in a manner that includes every AI layer from chips to a thriving mobile app store,” he told the Mobile World Congress in Barcelona.
“We have listened to and work constructively and directly with independent cloud providers to change our licensing terms, addressing their concerns and providing more opportunity for them. Worldwide, more than 100 cloud providers have already taken advantage of these changes,” a Microsoft spokesperson said.
Recently, during an interview, Google Cloud Vice President Amit Zavery expressed apprehension about Microsoft’s transition from on-premise software dominance to cloud services. Zavery said that Microsoft’s approach risks creating a closed ecosystem, where customers are compelled to use Microsoft’s offerings exclusively. “We worry about Microsoft wanting to flex their decade-long practices where they had a lot of monopoly on the on-premise software before and now they are trying to push that into the cloud now,” Zavery told Reuters.
He further warned that if Microsoft’s cloud remains closed, it could lead to long-term challenges, especially in next-generation technologies like AI.
Google wants regulators to act
Zavery called for antitrust regulators to intervene, urging them to provide guidance and regulations that prevent Microsoft from leveraging its on-premise monopoly to establish a cloud monopoly. “I think regulators need to provide some kind of guidance as well as maybe regulations which prevent the way Microsoft is building the Azure cloud business, not allow your on-premise monopoly to bring it into the cloud monopoly,” Zavery said.
Zavery also reportedly criticised Microsoft’s agreements with individual cloud vendors, saying these ignore the broader issues. “Microsoft has been very smart, picking individual vendors who complain and do one-sided deals but they don’t solve the broader problem. So they can choose the winners and losers in many cases as well, so they kind of pick who they want to compete with,” Google Cloud VP said.
Microsoft dismisses the charges
In response, Microsoft defended its practices, citing healthy competition among cloud hyperscalers. The company pointed out that, according to independent data, both Microsoft and Google made modest gains compared to AWS (Amazon Web Services), which continues to dominate the global market.
Microsoft president hits back
Microsoft President Brad Smith also weighed in, subtly referencing Google’s position. He highlighted that only one company currently integrates every layer of AI, from chips to a thriving mobile app store. “Today, only one company is vertically integrated in a manner that includes every AI layer from chips to a thriving mobile app store,” he told the Mobile World Congress in Barcelona.
“We have listened to and work constructively and directly with independent cloud providers to change our licensing terms, addressing their concerns and providing more opportunity for them. Worldwide, more than 100 cloud providers have already taken advantage of these changes,” a Microsoft spokesperson said.
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