Google has firmly denied claims that it offered financial incentives to the Cloud Infrastructure Service Providers in Europe (CISPE) as part of an alleged plan to maintain antitrust pressure on Microsoft. Reports surfaced suggesting Google provided significant financial support, including software credits, to CISPE to sustain its complaint against Microsoft’s cloud practices. However, Google insists that its contributions were unrelated to targeting its competitors.
Alleged offers of funding and credits
Documents reviewed byย The Registerย revealed that Amit Zavery, a former vice president at Google Cloud, had introduced a package of benefits to support CISPE. This included a โฌ4 million โMembers Innovation Fundโ and an additional โฌ10 million for trade association activities. Google also reportedly promised โฌ100 million in software credits for Google Distributed Cloud over five years.
A CISPE representative confirmed alternative proposals had been presented to members as options for a Microsoft settlement. โI cannot disclose the terms,โ the spokesperson told The Register.
The complaint against Microsoft highlighted restrictive licensing terms that CISPE argued made running Microsoft software on non-Microsoft cloud platforms more expensive and technically challenging. Microsoft eventually settled with CISPE, reportedly offering a deal worth โฌ10โ30 million alongside improved access to Azure services.
Google’s stance and further developments
Google maintains its actions were about supporting fair competition. A Google spokesperson clarified, โGoogle Cloud has long supported the principles of fair software licensing. We discussed joining CISPE to help fight against anti-competitive licensing and promote choice, innovation, and the digital economy in Europe.โ
Microsoft’s Deputy General Counsel Rima Alaily criticised Google’s involvement, accusing the company of using “shadow campaigns” to influence outcomes. Alaily alleged that Google positioned smaller firms as public representatives for its cause while pulling the strings behind the scenes.
A broader push for fairness in the cloud market
In the aftermath, Google joined the Open Cloud Coalition (OCC), a group advocating for more transparent and fair practices in the cloud industry. The OCC aims to encourage greater interoperability and competition across the sector. While Google insists it supports fair licensing practices, Microsoft views its involvement as an aggressive move to weaken competitors in the cloud market.
The rivalry between the two tech giants underscores the industry’s ongoing tension as regulators and advocacy groups push for reforms to ensure fairness in the growing cloud sector.
