Microsoft to Cease Bundling Teams and Office Software in Europe to Avoid EU Antitrust Action

Microsoft has announced that it will no longer bundle its Teams videoconferencing app with its Office software in Europe. The move is an effort by Microsoft to prevent potential antitrust penalties from regulators in the European Union (EU).

In addition to ceasing the bundling of Teams and Office, Microsoft also stated that it will take steps to make it easier for competing products to integrate with its software.

This decision comes after the EU’s executive Commission launched a formal investigation into Microsoft’s practices. The investigation was prompted by a complaint filed by Slack Technologies, the maker of a popular workplace messaging software. Slack alleged that Microsoft was using its market dominance to unfairly eliminate competition by combining Teams with its Office suite.

Microsoft’s vice president of European government affairs, Nanna-Louise Linde, stated in a blog post that the company is implementing these changes to address the EU’s concerns regarding customer choice and interoperability with rival software. However, it remains to be seen if these concessions will be sufficient to resolve the Commission’s concerns.

The changes will take effect on October 1st in the European Economic Area and Switzerland. Microsoft will reduce the price of the Office package without Teams by 2 euros per month for its core enterprise customers. New business customers will also have the option to purchase a standalone version of Teams for 5 euros a month.

Furthermore, Microsoft plans to provide more support for software developers and make it easier for competitors to utilize its functionality instead of building their own.