Microsoft is facing a £1.7 billion class action lawsuit in the United Kingdom over allegations that it abused its market dominance to overcharge businesses.
Digital markets expert Maria Luisa Stasi filed the case on behalf of about 59,000 UK businesses and organisations, accusing Microsoft of imposing higher costs on customers using its Windows Server software on rival cloud platforms.
Judges at the Competition Appeal Tribunal have approved the case to proceed to trial, stating that it has a reasonable prospect of success. They said the claim alleges that Microsoft used its dominance in the server operating system market to restrict competition in cloud computing services.
If the court upholds the claim, compensation could range between £1.7 billion and £2.1 billion.
Microsoft has said it will challenge the ruling and denies the allegations, noting that the tribunal’s decision does not determine the outcome of the case.
Regulators in both the UK and the European Union are also examining the company’s cloud licensing practices, including whether it should be designated as having “strategic market status”, which would subject it to stricter competition rules.