The regulator of the British telecommunications market, Ofcom, announced the completion of the audit of the activities of the American companies Amazon and Microsoft in the field of cloud services. As a result of the investigation, Ofcom recommended that the UK Competition and Markets Authority (CMA) launch its own antitrust investigation into the organizations mentioned.
According to reports, Ofcom’s audit revealed that Amazon and Microsoft dominate the country’s cloud services market. This provision allows you to set up rules that prevent customers from switching to other operators or using the services of other cloud providers. The organization believes the policies of American companies could violate the country’s antitrust laws.
Ofcom has calculated that Amazon and Microsoft account for up to 70% of the UK cloud market. Behind it is another American company Google with a market share of 5-10%. Ofcom’s research found that Amazon and Microsoft charge higher withdrawal fees for their cloud services than their smaller rivals. Additionally, their services cannot interact with competitors’ services, and the current discount system is designed to discourage customers from switching to other providers.