Microsoft has raised concerns about the Federal Trade Commission (FTC), claiming the agency may have improperly leaked information about its antitrust investigation into the company. In a letter to the FTCโs inspector general, Microsoft requested an inquiry into whether agency management violated its ethics rules by disclosing confidential details. The tech giant has also called for the findings to be made public.
Allegations of improper disclosure
The investigation into Microsoft, which was first reported by Bloomberg, focuses on several key areas of the companyโs operations. These include its cloud computing and software licensing businesses, artificial intelligence (AI) ventures, and cybersecurity offerings. However, Microsoft has expressed concern over how news of this investigation reached the media.
Rima Alaily, Microsoftโs corporate vice president and deputy general counsel, has pointed fingers at the FTC. In the letter, Alaily alleges that details about the investigation likely originated โfrom within the FTC,โ which, if true, would contradict the agencyโs guidelines. According to the FTCโs ethics rules, an investigation is considered nonpublic information. It should only be disclosed if the Office of Public Affairs deems it necessary or the investigation has already been made public through a press release or official filing.
Alaily also referred to a September report from the FTCโs inspector general, highlighting an increasing trend of unauthorised disclosures of nonpublic information to the press. She argued that this trend undermines trust in the FTCโs management of sensitive cases. The FTC has declined to comment on Microsoftโs claims or the details of the investigation.
Microsoft challenges the FTC
Microsoft claims it learned of the FTCโs investigation simultaneously with the publicโthrough the Bloomberg report. According to Alaily, when Microsoft asked the FTC for confirmation, the agencyโs staff refused to verify whether the investigation was ongoing. To date, Microsoft says it has not seen the information reportedly requested by the FTC.
This incident comes amid heightened antitrust scrutiny for Microsoft. In October, Alaily publicly accused Google of organising a smear campaign to damage Microsoftโs reputation among regulators and the public. These recent developments suggest Microsoft is taking a more proactive stance in defending itself against competition-related scrutiny.
Although Microsoft has primarily avoided the regulatory pressure faced by other Big Tech firms in recent years, it is now grappling with increased attention from regulators in the United States and Europe. High-profile matters, including acquiring Activision Blizzard, its partnership with OpenAI, and cybersecurity concerns, have drawn regulatorsโ interest.
Looking ahead
The outcome of the FTCโs investigationโand Microsoftโs call for an inquiry into the alleged leaksโremains uncertain. Much will depend on how officials and policymakers approach the matter in the coming months. For now, the situation highlights the growing tension between tech giants and regulatory bodies in their efforts to navigate an increasingly scrutinised landscape.
