South Africa to investigate Microsoft over cloud computing licensing practices, source says

A view shows a Microsoft logo at Microsoft offices in Issy-les-Moulineaux near Paris, France, March 25, 2024. REUTERS/Gonzalo Fuentes

A South African antitrust agency is set to investigate Microsoft over its cloud computing licensing practices, a source with direct knowledge of the matter told Reuters on Thursday.

The South African case against Microsoft is likely to mirror the European Union antitrust case, according to the source.

Microsoft is not aware of any complaint filed by the South African competition authority, the company said in an emailed statement.

South Africa's competition agency did not immediately respond to a Reuters request for comment.

The US software giant faces a EU complaint by rivals over its cloud computing licensing practices in the region.

Industry group CISPE, which includes members such as Amazon.com AMZN.O and 26 small EU cloud providers, filed a complaint in late 2022 alleging Microsoft's new contractual terms were harming Europe's cloud computing ecosystem.

Microsoft amended its licensing terms in mid-2022 after rivals in Germany, Italy, Denmark and France took their grievances to the EU competition watchdog.