Microsoft accuses Google of campaign to mislead the public and cloud regulators

Microsoft has accused Google of initiating a covert campaign to “discredit” Microsoft and “tilt the regulatory landscape in favour of its cloud services.”

In a blog written by Microsoft’s deputy general counsel, Rima Alaily, the software giant claims Google is about to launch a lobby group, or “astroturf organisation,” with a handful of smaller European cloud providers.

This group of ten will serve as the public face while Google remains a “backseat member,” as stated by Alaily.

“It remains to be seen what Google offered smaller companies to join, either in terms of cash or discounts,” Microsoft ‘s legal exec added.

Alaily also claimed that Google hired the advisory firm DGA to establish the group.

The blog stated that one firm which decided not to join the group told Microsoft that it would receive financial backing from Google if it chose to. The firm felt that the group’s purpose was mainly to criticise Microsoft’s practices in Europe.

The group, named the Open Cloud Coalition, is said to campaign for a fairer and more competitive cloud landscape across the UK, Europe, and beyond.

However, Alaily alleged this is part of Google’s broader attempt to undermine its competitors, with the purpose of “attacking Microsoft’s cloud computing business in the [EU] and the [UK],” according to Microsoft’s source.

The lawyer also accused Google of trying to turn the non-profit Cloud Infrastructure Service Provider in Europe (CISPE) against Microsoft. Bloomberg reported that Google offered CISPE half a billion dollars to “derail” its antitrust settlement with Microsoft. “Wisely, they declined,” said Alaily. “And, instead, the CISPE members endorsed the resolution we had developed together.”

Alaily then claimed that Google’s efforts against Microsoft are “to do with the fact Google is facing a reckoning.” “By our count, there are at least 24 antitrust investigations against Google in the leading digital markets around the world.

The latest investigation includes one by the UK’s CMA over Google’s partnership with Anthropic.

“At a time when Google should be focused on addressing legitimate questions about its business, it is instead turning its vast resources towards tearing down others,” she added.

“It is disappointing that, with the foundation of their business facing jeopardy, they have sought to bolster their cloud computing service – Google Cloud Platform – by attacking ours,” Alaily concluded.

TechInformed has requested Google for comment.