Microsoft has challenged the UK's Competition and Markets Authority (CMA) over its recent investigation into the £9 billion UK cloud computing market. In a 56-page response published Friday, Microsoft criticized the CMA for allegedly overlooking artificial intelligence's transformative impact on the industry.
The CMA's provisional findings in January suggested that Microsoft was leveraging its dominant position in software to hinder competitors like Amazon Web Services and Google. However, the regulator stated it saw "no significant direct impact" from AI on competition within the traditional cloud sector. Microsoft countered this view, saying that such a position is a "fundamental mistake" given AI's growing importance to corporate clients. The company also warned that regulatory intervention could backfire, potentially deterring growth and investment in the UK cloud market.
