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EU Complaint Accuses Microsoft of Anticompetitive Bundling of OneDrive, Teams in Windows (zdnet.com) 137

"Remember how Microsoft spent years in hot water in the late '90s and early '00s by forcing Internet Explorer on its customers?" asks ZDNet.

"European open-source cloud company Nextcloud does." Now, with a coalition of other European Union (EU) software and cloud organizations and companies called the "Coalition for a Level Playing Field," Nextcloud has formally complained to the European Commission about Microsoft's anti-competitive behavior by aggressively bundling its OneDrive cloud, Teams, and other services with Windows 10 and 11.

Nextcloud claims that by pushing consumers to sign up and hand over their data to Microsoft, the Windows giant is limiting consumer choice and creating an unfair barrier for other companies offering competing services. Specifically, Microsoft has grown its EU market share to 66%, while local providers' market share declined from 26% to 16%. Microsoft has done this not by any technical advantage or sales benefits, but by heavily favoring its own products and services, self-preferencing over other services. While self-preferencing is not illegal per se under EU competition laws, if a company abuses its dominant market position, it can break the law. Nextcloud states that Microsoft has outright blocked other cloud service vendors by leveraging its position as gatekeeper to extend its reach in neighboring markets, pushing users deeper into its ecosystems. Thus, more specialized EU companies can't compete on merit, as the key to success is not a good product but the ability to distort competition and block market access....

So, Nextcloud is asking the European Commission's Directorate-General for Competition to prevent this kind of abusive behavior and keep the market competitive and fair for all players. Nextcloud is doing this by filing an official complaint with this body. In addition, Nextcloud has also filed a request with the German antitrust authorities, the Bundeskartellamt, for an investigation against Microsoft. With its partners, it's also discussing filing a similar complaint in France.

Nextcloud is being joined in its complaint by several open-source, non-profit organizations. These include the European DIGITAL SME Alliance; the Document Foundation, LibreOffice's backing organization; and the Free Software Foundation Europe (FSFE)... Numerous businesses are also supporting Nextcloud's legal action. This includes Abilian, an open-source software publisher; DAASI, an open-source identity management company; and Mailfence.

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EU Complaint Accuses Microsoft of Anticompetitive Bundling of OneDrive, Teams in Windows

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  • Onedrive? (Score:2, Insightful)

    by backslashdot ( 95548 )

    Seriously? Who uses that? If they want to bust up anti-competiveness why don't they ask all the messaging services to interoperate with each other? I am talking about Apple iMessages, Zuckerface Whatsapp, Viber, Telegram, signal, etc. And of course require end-to-end encryption to be preserved.

    • Re:Onedrive? (Score:5, Informative)

      by Anonymous Coward on Sunday November 28, 2021 @08:29PM (#62028707)

      If they want to bust up anti-competiveness why don't they ask all the messaging services to interoperate with each other?

      Guess what, they are also working on interoperability of messaging services https://tech.slashdot.org/stor... [slashdot.org]

      Seriously? Who uses that?

      Who uses onedrive: schools, businesses, because it comes included. Some years ago we were using services from Seafile. Onedrive came as a bundle when we upgraded to windows 10 and I guess the price was interesting to our IT department, simplifying the management of the contracts, and less work for them since everything already comes together. The consequence is what what is in TFS: increased market share for MS for no real technical advantage.

    • Companies use Onedrive(And sharepoint online) a LOT.

      Basic fileservers have almost totally disappeared from our customers and other companies that we come in contact with. They have been basically "always" replaced by office 365 with the shared fires in sharepoint and the user files in onedrive.

    • Some of them deliberately.

      Some just make it available for whoever compromises their Office/365 account to use for malware distribution.

    • by jon3k ( 691256 )
      We just cancelled our ~8 year agreement with Box to move to OneDrive because it's "free." We've already moved from Slack to Teams (Teams is awful, but "free"). We pay the same we were for an Enterprise Agreement and get the Office suite, Exchange Online, and they throw in OneDrive and Teams. This is absolutely no different than browser bundling as far as I'm concerned. And it's really sad this isn't illegal and being prosecuted by the DoJ right now.
    • A lot of places I've worked at. Specifically the ones not using Googles daft apps.

      I can't say in all honesty I've ever actually saved a thing to OneDrive. But its part of the whole Office365 ecosystem and microsoft doesnt seem to provide a way to swap that backend out to Dropbox or Google or whatever.

      I'm su

    • A lot of places I've worked at. Specifically the ones not using Googles daft apps.

      I can't say in all honesty I've ever actually saved a thing to OneDrive. But its part of the whole Office365 ecosystem and microsoft doesnt seem to provide a way to swap that backend out to Dropbox or Google or whatever.

      I'm sure there might be a way, but I don't know what it is, and thats half the problem. If I dont know how to do it, I can hardly expect Joe the plumber who uses Office365 because he uses office at home, to kno

    • Re: Onedrive? (Score:4, Interesting)

      by registrations_suck ( 1075251 ) on Monday November 29, 2021 @12:51AM (#62029007)

      Oh fuck that.

      I use iMessage and block all SMS messages to virtually eliminate spam. The very last thing I want in the universe is for people on all those other platforms to have the ability to use them to send their shit my way.

      • by Teun ( 17872 )
        Exclusively using iMessage means you can only be reached for those also using iMessage, I don't know that many that do.
        Also, over the years I've maybe received one spam via SMS, I'd say you need to contact your politicians to have that shit banned.
    • Seriously? Who uses that?

      Seriously? Who doesn't. OneDrive underpins all modern Sharepoint file management. It's provided free with a Microsoft account, it underpins the anti-ransomware features of Defender and MS annoys people into signing up to it in multiple ways including telling people there's something wrong with their PC if they don't.

      Anyone who has an Office 365 subscription has a huge OneDrive allotment with it, and it is the default save location for Office. Schools use it, companies use it, governments use it (MS specific

    • Agree, all communication tools should be able to communicate with each other and not be a walled garden. They should all be releasing APIs for anyone to use their comms and the "tool" itself be where they make themselves different
    • Unless you are careful during installation you will get onedrive forced on you - and you can never leave.

    • The problem with OneDrive is that it doesn't work.

      I'm a university professor in charge of huge classes. Our university has sold out to Microsoft, and so the students' email is some Lookout365 thing.

      When students go to send email, sometimes when they are trying to attach files, it "helpfully" gets in the way and "offers" to upload the attachment to OneDrive instead of attaching it as normal. So sometimes their stuff arrives as a OneDrive link.

      But these links never work, because of something something sharing

    • by nashv ( 1479253 )

      I don't know what rock you live under, but Onedrive is essentially Sharepoint dumbed down and rebranded to be a direct competitor to Google Drive. I have Sharepoint directories synced to my computer using the Onedrive app. So I don't know where you are coming from, but Onedrive/Sharepoint is the most widely used Enterprise cloud storage solution.

      And you know why Enterprise uses it? Because for a measly 10 bucks a month per user, you get Sharepoint, Onedrive, Account sync across machines via ActiveDirectory,

      • by nashv ( 1479253 )

        Oh and also Teams. And everything is intergrated - files on Teams and viewable and syncable through Sharepoint and Onedrive.

        Heck, Slack alone costs as much as the whole package from MS.

    • *Raises hand*

      I do.

      When I was finally forced to pick a paid lane (i.e. my dropbox free limit was reached), I looked at the options and chose OneDrive.

      Frankly, this is likely due to their competitive advantage, which is at the heart of this whole debate. It just worked. So, yes - I think it's an unfair advantage. And yes, I'm glad it was an option, and I would choose it again.

      I chose function over philosophy.

  • Edge anyone? (Score:5, Insightful)

    by devslash0 ( 4203435 ) on Sunday November 28, 2021 @08:04PM (#62028671)
    Surely someone should look at the obvious choices first? With all the recent changes and Microsoft throwing logs under everyone feen when trying to change your defaull browser, it's the Edge that should be core of this accusation?
    • Nextcloud makes competing cloud services, not a competing browser. They wouldn't have standing with regards to the browser situation.
    • by AmiMoJo ( 196126 )

      I guess every OS needs a browser installed by default, so you have something to download a better browser with.

      PROTIP for Windows 11, it has WinGet built in so you can use that to install Firefox or Chrome without every opening Edge.

      • oh, thanks!

        Previously I would have to use Edge to download Chrome, and then use that to download Ubuntu/Fedora...

        • by AmiMoJo ( 196126 )

          It's only a matter of time until Clippy appears with "It looks like you're downloading a Linux ISO..."

      • by EvilSS ( 557649 )

        I guess every OS needs a browser installed by default, so you have something to download a better browser with.

        Why? We managed to get browsers before they were bundled, we can do it again. As for Winget, that's just another example of MS bundling things they shouldn't. It needs to go too.

        • by AmiMoJo ( 196126 )

          We used to get browsers on floppy disks and CD-ROMs. Modern computers have neither of those things. I imagine most people would be pretty upset if their OS didn't have a web browser out of the box.

          I can't see an issue with WinGet. It is mostly third party software in the database, it offers little advantage to Microsoft. Again, I imagine most Linux users would be upset if their distro didn't come with a package manager installed by default.

          • by EvilSS ( 557649 )
            USB drives are a thing, and a cheap one at that. Browser makers can sell one with the installer for their browsers if they want. Not for free though. It needs to have a mandated minimum cost so it can't be sold at a loss. Sold with no profit fine, but not below cost.

            Governments could also mandate an open source program that isn't under the control of MS or any other OS maker (including "Big Linux") that allows the user to download any browser they want. Let the user to search for a browser they want or pi
            • by AmiMoJo ( 196126 )

              If your business model is to sell low cost USB drives with your browser on, your browser is not going to be very popular. Even the ones you can download for free struggle to get any traction.

              WinGet is open source. Okay MS control the repo but most of the apps on there are managed by third parties, mostly individuals. It's way more than FTP, it manages versions, dependencies, automates the install process and handles updates. It's a pretty capable package manager.

              • by EvilSS ( 557649 )

                Governments could also mandate an open source program that isn't under the control of MS or any other OS maker (including "Big Linux") that allows the user to download any browser they want. Let the user to search for a browser they want or pick one from a randomized list. Fund it with a tax on MS, Apple, Ubuntu, RedHat, etc.

                Let me post that again since you seem to have conveniently skipped over it. But I guess I should expect it.

                As for WinGet, no, it sucks compared to pretty much every alternative. Even if it was the best package manager ever designed, it should not be FORCED onto users, open source or not. Being open source is not a excuse to allow the company driving the product to employ anti-competitive practices.

        • by Rhipf ( 525263 )

          If Microsoft shouldn't be bundling Winget then Linux should also get rid of the myriad of package managers that come bundled with their distros.

    • The problem with Edge is that you'd need to go after it for specific practices, such as the link hijacking, and changing of defaults, and ultimately that is a higher bar to prove with smaller payoff in an antitrust suit.

      Expected performance comes into whether bundling is illegal or not. It's not 1995 anymore, users expect an OS to come with a browser preinstalled so MS won't get ruled against in the same way as they did back then. Even the "N" edition of Windows dropped the browser selection screen, and AFA

  • A very honest question: Take away all pieces that are anticompetitive and bundled with Windows. What is left? Not even the shell - there are tools that allows users to modify the Windows UI, to act as control panel, to act as command prompt, to browse the web, to replace Notepad, Paint, Calc, you name it. What does the EU wants with these moves?

    • by theshowmecanuck ( 703852 ) on Sunday November 28, 2021 @08:52PM (#62028759) Journal

      OneDrive and Teams are not needed to use the OS. Nice strawman attempt.

      Do you work for Microsoft?

      • OneDrive and Teams are not needed to use the OS.

        Well, if they follow their old IE playbook - some of the libraries necessary for operating these applications will magically move away from the applications themselves and become part of the OS. Then Microsoft can indeed claim that Windows won’t operate without OneDrive or Teams installed.

      • OneDrive and Teams are not needed to use the OS. Nice strawman attempt.

        Do you work for Microsoft?

        He isn't entirely wrong in principle though. It's not 1995. We don't expect to get an OS and need to go to insane efforts to get basic functionality. Sure OneDrive and Teams are a stretch, but look at everything else: basic calendar, web browser, functioning file manager, media player. There are plenty of apps which could be seen in equally "anticompetitive" light which are a minimum expectation for anyone installing an OS, be that Windows, Mac, or even a Linux variant.

        Also OneDrive is not needed to use the

    • by PinkyGigglebrain ( 730753 ) on Sunday November 28, 2021 @09:06PM (#62028765)

      : Take away all pieces that are anticompetitive and bundled with Windows. What is left?

      A core OS that can be used as a base for anything people want to use it for, just like GNU/Linux and BSD.

      • Core OS is a euphemism for "doesn't work out of the box". No I'm not being funny, a user doesn't expect a shell when they first turn on their PC (or Mac) or even their Phone.

        I expect a shell when provisioning a server the first time (both definitions of the word shell).

    • There is no hard line, but you always decide by committee what belongs to the OS and what should be apps and offered independently without prejudice in the app shop or cross app integration. With the size of monolithic apps again decided by committee (ie. One drive and Teams should be seperate from office).

      The only problem is that by now Google and Apple are getting large enough that just beating Microsoft with that stick is hardly consistent.

    • Honest answer: a less annoying, more flexible, and *better* operating system.

  • by jimbrooking ( 1909170 ) on Sunday November 28, 2021 @08:42PM (#62028735)
    I seem to recall an anti-trust suit filed by the US against Microsoft, and if I recall correctly there were some fairly rigorous relief measures imposed. I guess those have all expired, so MS is back to business as usual. So predictable.
    • by HiThere ( 15173 )

      The relief measures were a very mild hand slap, nothing more. But they did get MS to start bribing the politicians, excuse me, making campaign donations, like all the other major companies.

    • by AmiMoJo ( 196126 )

      Business decision. Regulators are very slow and the fines are fairly small, so overall the benefit of getting to bundle Teams and OneDrive for several years outweigh the costs.

    • No. The relief measures were specific to software of the date. Antitrust rules about one application do not apply to others, and a company is very much welcome to be anticompetitive without breaching the first ruling. But even more fundamentally if you look at the case you may find the measures imposed were about API access and documentation.

      At no point did the ruling forbid MS from bundling or require them to remove something they shipped with the OS.

      Now what is far more interesting is the ruling requires

    • I seem to recall an anti-trust suit filed by the US against Microsoft, and if I recall correctly there were some fairly rigorous relief measures imposed.

      You do not recall correctly. The USDoJ let Microsoft off with [literally less than] a handslap. Bush's AG Ashcroft said it wasn't in our interest to hold them accountable. It's the EU that actually made them change up their browser selection screen, fined them, etc.

      • by swilver ( 617741 )

        Bush's AG Ashcroft said it wasn't in our interest to hold them accountable.

        That's what they think, but it is even in the US best interest to ensure not all your software is 100% dependent on Microsoft. If left completely unchecked you'd be using Microsoft Windows, with a Microsoft Browser, email client, office, only usable with a Microsoft Mouse, Keyboard, Monitor and CPU.

        • That's what they think, but it is even in the US best interest to ensure not all your software is 100% dependent on Microsoft.

          CONSPIRACY THEORY ALERT

          Right after this happened Microsoft went full-on spyware.

          Right after this happened Gates created his foundation, a massive tax dodge which has achieved none of its stated goals but which has made Gates richer than he was before he endowed it.

          Is it paranoid to believe that the deal was that he gets to keep his money if he moves it into a trust where he doesn't appear to control it directly, while Windows becomes part of the always-on, always-listening panopticon controlled by the NSA?

    • by tsa ( 15680 )

      The relief measures consisted of, amongst other things, giving Windows away to schools for free, so a new generation would grow up with Windows and bring MS lots of profit in the long run.

    • by leptons ( 891340 )
      Microsoft appealed the decision in that antitrust case and won, and only had to settle in court.
  • They have a point (Score:5, Insightful)

    by Tablizer ( 95088 ) on Sunday November 28, 2021 @08:51PM (#62028757) Journal

    Our org wouldn't be using Teams if it weren't bundled with the OS, because it sucks rotting eggs on a good day.

    • But it hasn't been bundled with the OS for that long. That's a recent change.
    • There are people who use Teams because they like Microsoft software.

      I, however, am not one of them. I use Teams because my *manager* likes Microsoft software.

      • by Junta ( 36770 )

        I've found that people use Teams not because they like Teams, but because they like/need Excel/Powerpoint/Word, and if you 'have' to pay for those, you must also have access to Teams. So it becomes the logical choice for any company not actively avoiding Office applications.

    • Why is your org so sad it can't download competing software? How is this MS's fault your admin team can't figure out an alternative solution, since several exist. Maybe your management is at fault?

      • by Junta ( 36770 )

        Bundling with *Windows* is less the issue for corp use and bundlingy with *office*. The team *could* figure out how to install a teams competitor, however, this would also mean paying for something else when they are already paying for Teams, they can't opt out of Teams so their users would see Teams anyway and the worst thing for a company would be some people using Teams and other people using Slack and not having a consensus on the 'correct one'. You can't avoid your users seeing Teams, so at least som

        • by EvilSS ( 557649 )
          It also doesn't help that the major Teams competitors all suck in their own special ways as well. I use Teams, Slack, Webex Teams, and Google Workspace for various reasons for work and they are all crap.
    • teams ISN'T bundled with the OS (at least not the OS you are almost certainly using in a business/enterprise), it comes with the Office Suite and no it aint free. The free bundled thing is new for Windows 11. So no your org is not using it because it is there, they specifically chose it and rolled it out to you or preinstalled it in the OS.
    • Your org isn't using Teams due to any bundling with the OS. It's using Teams due to integration with the rest of MS's Cloud offering.

      OS bundling is not only new in Windows 11 (and I assume you're not running Windows 11 because corporations typically aren't that stupid) but on a corporate machine that can be disabled by IT administration.

  • by King_TJ ( 85913 ) on Sunday November 28, 2021 @09:16PM (#62028779) Journal

    I remember when Microsoft first started building out all of this stuff for O365. First, we saw the free Exchange support included with your O365 license, which pretty much killed off all the 3rd. party services who used to offer cloud-hosted Exchange mail for businesses. Then they moved on to develop Teams (plus moving Skype for Business into it), OneDrive, MS Flow, Power BI, Microsoft Stream, etc. It became clear that they were trying to kill anything that did a "value add" to the standard Windows + Office duo used by businesses everywhere.

    I was really expecting more push-back to Microsoft taking over all the Exchange mail hosting like they did, but I guess the other "big players" in that space just accepted the loss of customers and found ways to survive (a la Intermedia)?

    I've never found anyone who thinks MS Teams has acceptable levels of performance or system resource usage. By all metrics, the thing is a sluggish pig of an application. But it's winning people over at this point because it's (again) free with your existing O365 licensing, PLUS it's so integrated with everything else they're selling. (The new "Microsoft Phone" product is letting people take an existing PBX and adapt it so all your phone calls in and out go through Teams. No legacy PBX? Even easier! Just assign people VoIP phone numbers and use Teams as a VoIP phone solution!)

    OneDrive is, again, taking over primarily due to the integration. If you use SharePoint, you're pretty much using OneDrive at this point. (Any files or folders on the SharePoint can sync with a click of a single button on the toolbar of the web page, so they become available via the Windows Explorer after that. That means modern businesses are setting up that SharePoint and OneDrive combo as their cloud substitute for a traditional file server with shares to connect up.)

    If you need to host videos for your Intranet? You can again, free of charge, upload these to MS Stream, which integrates with SharePoint. So no need to have separate logins/accounts for other services like YouTube or Vimeo or what-not for all of that.

    I feel like the proverbial horse has been let out of the barn already and the fences have all been removed, and NOW people are saying, "Hey! Our horse is escaping. We should probably do something!" I guess the EU can file more lawsuits or whatever .... but it's the software developers who should have been aware this was going on for the last few years and started coding more competitive alternatives! (A bunch of people I know dumped subscriptions to services like DropBox due to the exorbitant annual fees, even though they technically worked pretty well. It's such a big project to switch vendors for a heavily used cloud storage service like that, they typically moved to OneDrive because "free" and because "it's the one that'll work with all this O365 stuff the easiest".)

    NextCloud is a cool product and I run one here at home. But it's nowhere NEAR ready for prime time as a substitute for the bundle MS offers businesses today! At best, it's a nice open source alternative for small business or educational use in environments where people don't mind things like videos often not playing properly when clicked on, because the proper video CODEC isn't supported, or major updates happening at a rapid pace with little support for staying on older, known stable releases.

    • I have a few well-paying customers on it because Microsoft ditched custom domains, proper custom branding and many other capabilities within SharePoint which were necessary for customers to make the claim that they had a proper data-handling system or file upload portal. If the developers offered proper first party hosting at a cheap enough price (like what Automattic does with Wordpress) then they would make a lot of money, that I would happily lose in order to better automate my revenue streamâ
  • by nitehawk214 ( 222219 ) on Sunday November 28, 2021 @10:09PM (#62028835)

    The other day win10 started overiding the default search engine in Chrome to be Bing instead of DuckDuckGo. Even when I completely removed Bing as an option from Chrome, when I restarted it showed back up.

    After a few restarts of whack-a-mole, it quit doing it.

    • The other day win10 started overiding the default search engine in Chrome to be Bing instead of DuckDuckGo.

      I'm calling bullshit. There's zero documented evidence of Windows doing anything of the sort. Now there's plenty of documented evidence of shitty plugins, extensions, malware and other shit the user installed doing it. That is common enough that Chrome even provides a dedicated tool to find out what software is changing its settings.

      You can follow one of the helpful guides online on how to clean up your Chrome setup.

  • Never use the odd-numbered versions. I'm waiting for MS to release TwoDrive.

    Also, now that I'm kinda "retired", I'd rather use a standalone version of Teams -- Team.

  • by GameboyRMH ( 1153867 ) <gameboyrmh@@@gmail...com> on Sunday November 28, 2021 @11:00PM (#62028915) Journal

    "Anticompetitive Bundling" has basically been Microsoft's primary business model since the Win98 era, although recently they've been branching out into surveillance capitalism.

  • The headline is disingenuous, it's a complaint to the EU more than an EU complaint.

  • We have to fix up one drive by updating it when providing workstations to our users. I wish we had a newer version bundled.

    Are we going to give Apple a hard time for providing iCloud access on Mac?

    I bet not and it's a much much much more locked down ecosystem.

    • We have to fix up one drive by updating it when providing workstations to our users. I wish we had a newer version bundled.

      Are we going to give Apple a hard time for providing iCloud access on Mac?

      I bet not and it's a much much much more locked down ecosystem.

      Not sure how big your shop is, but we generally address issues like this by building our own standard OS images that we put on user workstations.

  • The U.S. DOI missed the real problem during the original anti trust hearings. Microsoft should really have been broken up into two companies. One that provides the actual O/S and one that provides the desktop GUI. Possibly another that provides user land programs programs. The OS should come with compreshensive documentation that would allow third parties to have the same chance at interoperating with the OS that the MS desktop has. And all such operation should be done through published APIs only. No

  • They are so effective! Oh, wait...
  • by Schoenlepel ( 1751646 ) on Monday November 29, 2021 @10:07AM (#62029735)

    Split Microsoft up into smaller parts.

  • Their complaint forgot to include Google and Apple.
  • Isn't this akin to tracking down defunct startups for unpaid library fines?

    I think that, before they can be sued for for functionality . . . functionality should exist. After that we should have a way of comparing it and other vendors.

    So . . .
    1) Microsoft would have to make interoperability USABLE ;)
    2) Microsoft, Google etc. would THEN need to disclose in a meaningful way how accessible your data is to you, your employer, their employees, bad actors

    Wait? Where'd yall go? I can SEE you google .
  • ...forcing Safari on iOS users.

    Seriously, you cannot even INSTALL a different browser on iOS devices because any other "browser" you install is actually just a UI on top of Safari. And if you happen to use any of those other "browsers" Apple disables some modern APIs.

    How in the world is that legal? Do they contribute that much more to politicians than Microsoft?

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