Tuesday, 02 January 2024 12:17 GMT

EU accepts commitments from Microsoft to unbundle its Teams collaboration platform


(MENAFN) The European Commission announced Friday that it has accepted commitments from Microsoft to unbundle its Teams collaboration platform from other Office applications.

“These commitments will henceforth be legally binding under EU antitrust rules,” the Commission said, effectively shielding Microsoft from potentially significant penalties. Last year, the EU accused Microsoft of violating competition laws by “abusively” combining Office and Teams products.

Under the agreement, customers with long-term licenses can switch to Office 365 or Microsoft 365 suites without Teams. The company will also provide versions of its software suites at discounted prices without Teams. Additionally, Microsoft will allow users to transfer data from Teams to rival applications and ensure compatibility between Teams alternatives and certain Microsoft products.

Following a market test of its initial pledges, Microsoft has committed to further measures to address competition concerns. Initial undertakings included a 50% price increase between Office suites with and without Teams and ensuring that Microsoft’s promotional websites present equivalent offers for suites without Teams.

The EU’s investigation into Microsoft began in 2023, examining whether bundling Teams with Office violated competition rules.

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