![]() ![]() Nextcloud isn’t the only corporation that has expressed dissatisfaction with its services. As a result, more specialized EU companies cannot compete on merit, because the key to success is the capacity to distort competition and prevent market access, not a good product. According to Nextcloud, Microsoft has effectively barred rival cloud service providers by utilizing its position as a gatekeeper to expand its reach in adjacent areas and draw consumers deeper into its ecosystems. ![]() While self-preferencing is not unlawful in and of itself under EU competition laws, a corporation can break the law if it exploits its dominating market position. Microsoft has achieved this by significantly favoring its products and services, self-preferencing over competing services, rather than by any technical edge or commercial benefits. Microsoft’s EU market share has increased to 66 percent, while local providers’ market share has decreased from 26 percent to 16 percent. According to Nextcloud, Microsoft is limiting consumer choice and creating an unfair barrier for other companies offering competitive services by pressuring them to sign up and hand over their data to the company. With the help of the “Coalition for a Level Playing Field,” a group of other European Union (EU) software and cloud organizations and companies, Nextcloud has filed a formal complaint with the European Commission (EC) about Microsoft’s anti-competitive behavior in bundling its OneDrive cloud, Teams, and other services with Windows 10 and 11. Remember how, in the late 1990s and early 2000s, Microsoft got into a lot of trouble by pushing Internet Explorer on its customers? Nextcloud, a European open-source cloud startup, does.
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