Slack information competition grievance from Microsoft in the EU

Slack files competition complaint against Microsoft in the EU

Slack says it has submitted an anti-competitive criticism in opposition to Microsoft with the European Commission. “The criticism details Microsoft’s unlawful and anti-competitive observe of abusing its sector dominance to extinguish levels of competition in breach of European Union competitiveness legislation,” suggests Slack in a statement. Slack alleges that Microsoft has “illegally tied” its Microsoft Groups solution to Business office and is “force installing it for hundreds of thousands, blocking its removing, and hiding the true charge to business customers.”

“Microsoft is reverting to past habits,” promises David Schellhase, basic counsel at Slack. “They created a weak, copycat solution and tied it to their dominant Workplace item, force setting up it and blocking its removal, a carbon duplicate of their unlawful habits throughout the ‘browser wars.’ Slack is asking the European Fee to get swift action to guarantee Microsoft cannot continue to illegally leverage its electrical power from just one market place to another by bundling or tying products and solutions.”

Slack has persistently claimed that Microsoft Teams is not a legitimate competitor, mostly due to the fact it is much more concentrated on online video phone calls and conferences. That’s clearly not real, and Slack and Microsoft have been caught in a battle for the upcoming of office communications for months now.

Microsoft Groups

Microsoft claimed Slack does not have the “breadth and depth” to reinvent perform, and Slack CEO Stewart Butterfield has earlier mentioned that Microsoft is “unhealthily preoccupied with killing us.”

The competitiveness in between the two businesses to start with started approximately 4 yrs back when Slack paid out for a full-website page newspaper ad to “welcome” Microsoft Groups as a competitor. Microsoft overtook Slack use a yr ago, and has hit major person quantities not too long ago many thanks to pandemic-linked need. Microsoft unveiled it experienced 75 million everyday energetic consumers of Microsoft Teams back again in April, and the corporation may very well update that figure for the duration of its earnings phone afterwards now.

Slack formerly exposed it has 12 million every day energetic people again in October, but the company has not publicly up-to-date this amount at any time given that. Slack did split consumer information back again in March as extra corporations turned to remote operating.

The European Commission will now assess Slack’s criticism to identify no matter whether it fulfills grounds for a formal investigation. Microsoft hasn’t faced a formal antitrust investigation in Europe considering the fact that 2008, when the organization was eventually compelled to supply a browser ballot choice soon after bundling Net Explorer with Windows. Microsoft was later on fined $730 million for failing to incorporate the browser ballot display in Windows 7 SP1.

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Cory Weinberg

About the author: Cory Weinberg

Cory Weinberg covers the intersection of tech and cities. That means digging into how startups and big tech companies are trying to reshape real estate, transportation, urban planning, and travel. Previously, he reported on Bay Area housing and commercial real estate for the San Francisco Business Times. He received a "best young journalist" award from the National Association of Real Estate Editors.

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