Sunday, June 23, 2024

Google Escalates Grievance of Microsoft, Cautions Towards Cloud Monopoly

Alphabet’s Google Cloud on Monday strengthened its criticism of Microsoft’s cloud computing practices, accusing its rival of pursuing a monopoly that could stifle growth in emerging technologies such as generative artificial intelligence.

Amit Zaveri, vice president of Google Cloud, voiced his concerns about Microsoft’s alleged attempts to recreate its former on-premise software monopoly in the cloud. Zavery was critical of what he described as Microsoft’s creation of a closed, monopolistic ecosystem that could stifle consumer choice and innovation.

Referring to Microsoft’s collaboration with OpenAI, the creator of ChatGPT, Zavery expressed fears about what it would mean for the industry if Microsoft’s cloud platform Azure succeeds demanding legal intervention to stop what he sees the pattern of Microsoft’s monopolistic practices in the cloud space.

In response to Google’s criticism, Microsoft defended its position, citing data that shows there’s a healthy competition between cloud hyperscalers. Microsoft president Brad Smith tactfully countered Google’s comments in his speech at Mobile World Congress, highlighting Microsoft’s AI integration and broader ecosystem.

Zavery also called out Microsoft’s individual agreements with cloud vendors, saying the deals don’t address broader industry concerns and could unfairly affect Microsoft’s competitiveness.

Microsoft refuted the criticism, saying it had responded to feedback from independent cloud providers and changed its licensing rules to suit.

The dispute between Google and Microsoft reflects the deepening of cloud computing and the increasing scrutiny of market dominance and fair competition.


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