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Microsoft accuses Google of secretly funding regulatory astroturf campaign

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data-ylk="itc:1;slk:Read full article">Read full article<i></i></button><div class=caas-body-content><div class=caas-body-inner-wrapper><div class=caas-body-section><div class=caas-content data-wf-sticky-boundary=caas-body-section data-wf-sticky-offset="165px 10px" data-wf-sticky-target=.caas-share-buttons><div class=caas-content-wrapper><header class=caas-header><div class=caas-site-section-breadcrumb><ul><li><a href=https://www.engadget.com/big-tech/ >Big Tech</a></li></ul></div><!--F#f_5--><div class=caas-logo></div><!--F/--><div class=caas-title-wrapper><h1 id=caas-lead-header-undefined data-test-locator=headline>Microsoft accuses Google of secretly funding regulatory astroturf campaign</h1><div class=caas-subheadline><h2>The company says the Open Cloud Coalition is an effort to harm its business.</h2></div></div></header><div class=caas-content-byline-wrapper><div class="caas-attr author"><div class="caas-content-author-photo "><a class="link caas-attr-logo" 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href=https://www.engadget.com/about/editors/igor-bonifacic/ data-ylk="elm:author;slk:Igor Bonifacic;itc:0">igor bonifacic</a></span></div><div class=caas-attr-job-title><span>Senior reporter</span></div><div class=caas-attr-time-style><span>Updated </span><time class=caas-attr-meta-time dateTime=2024-10-28T20:38:07.000Z>Tue, Oct 29, 2024, 4:38 AM</time><span class=caas-attr-meta-separator>&#183;</span><span class=caas-attr-mins-read>3 min read</span></div></div></div><div class=caas-content-contain-share><div class="caas-share-section "><div class=caas-share-buttons><div id=caas-consolidated-share-btn class=caas-consolidated-share-btn><button class="wafer-toggle caas-button noborder" data-wf-toggle-target=#caas-share-popup data-wf-toggle-class=click:toggle:share-button-hide data-wf-toggle-boundary=caas-content-byline-wrapper data-ylk=slk:share-menu-open;elm:share;sec:consolidated-share-popup;subsec:grade;itc:1 aria-label=Share><span class="arrowUpAndOut icon"><svg width=16 height=16 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class=caas-figure-with-pb style="max-height: 640px"><div><div class=caas-img-container style=padding-bottom:67%><img class="caas-img has-width" src=https://s.yimg.com/ny/api/res/1.2/XQ5HrhwpOGh02qHmbuMxtg--/YXBwaWQ9aGlnaGxhbmRlcjt3PTk2MDtoPTY0MA--/https://s.yimg.com/os/creatr-uploaded-images/2024-10/d4d346b0-956b-11ef-bfff-99b6fd601726 fetchPriority=high data-src=https://s.yimg.com/ny/api/res/1.2/XQ5HrhwpOGh02qHmbuMxtg--/YXBwaWQ9aGlnaGxhbmRlcjt3PTk2MDtoPTY0MA--/https://s.yimg.com/os/creatr-uploaded-images/2024-10/d4d346b0-956b-11ef-bfff-99b6fd601726 height=640 width=960></div></div></div><div class="caption-wrapper caption-aligned-with-image"><figcaption class=caption-collapse><span class=caption-credit> REUTERS / Reuters</span></figcaption></div></figure></div><div class=caas-body><p>Microsoft is accusing Google of funding a proxy campaign designed to discredit it in the eyes of regulatory authorities and policymakers in the European Union and beyond. In a <a data-i13n="elm:affiliate_link;sellerN:;elmt:;cpos:1;pos:1" href="https://shopping.yahoo.com/rdlw?siteId=us-engadget&pageId=1p-autolink&contentUuid=99df3692-f4b4-4da3-9535-99ba848dd20f&featureId=text-link&custData=eyJzb3VyY2VOYW1lIjoiV2ViLURlc2t0b3AtVmVyaXpvbiIsImxhbmRpbmdVcmwiOiJodHRwczovL2Jsb2dzLm1pY3Jvc29mdC5jb20vb24tdGhlLWlzc3Vlcy8yMDI0LzEwLzI4L2dvb2dsZXMtc2hhZG93LWNhbXBhaWducy8iLCJjb250ZW50VXVpZCI6Ijk5ZGYzNjkyLWY0YjQtNGRhMy05NTM1LTk5YmE4NDhkZDIwZiIsIm9yaWdpbmFsVXJsIjoiaHR0cHM6Ly9ibG9ncy5taWNyb3NvZnQuY29tL29uLXRoZS1pc3N1ZXMvMjAyNC8xMC8yOC9nb29nbGVzLXNoYWRvdy1jYW1wYWlnbnMvIn0&signature=AQAAAWvbMTUa-rJFOfeOD5S9s4O_b9hXoo3LieBbxZki_XB6&gcReferrer=https%3A%2F%2Fblogs.microsoft.com%2Fon-the-issues%2F2024%2F10%2F28%2Fgoogles-shadow-campaigns%2F&refurl=https%3A%2F%2Fwww.engadget.com%2Fbig-tech%2Fmicrosoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html" class="link rapid-with-clickid etailiffa-link" rel="nofollow noopener" target="_blank" data-ylk="slk:blog post;elm:affiliate_link;sellerN:;elmt:;cpos:1;pos:1;itc:0;sec:content-canvas">blog post</a> penned by Rima Alaily, the company’s deputy general counsel, Microsoft claims the search giant has gone to “great lengths to obfuscate its involvement, funding and control” of the Open Cloud Coalition, a group of “cloud service providers, industry leaders and stakeholders” that says it’s committed to advocating for a “fair, competitive, and open cloud services industry across the UK and EU.”</p><p>According to Microsoft, Google hired a lobbying agency in Europe to create and operate the organization, and recruited “a handful of” European cloud providers to appear as the public face of the soon-to-launch campaign. The company says that Google plans to “present itself as a backseat member” of the Open Cloud Coalition, rather than its leader and primary funder. As one example, Microsoft points to a <a data-i13n="elm:affiliate_link;sellerN:;elmt:;cpos:2;pos:1" href="https://shopping.yahoo.com/rdlw?siteId=us-engadget&pageId=1p-autolink&contentUuid=99df3692-f4b4-4da3-9535-99ba848dd20f&featureId=text-link&custData=eyJzb3VyY2VOYW1lIjoiV2ViLURlc2t0b3AtVmVyaXpvbiIsImxhbmRpbmdVcmwiOiJodHRwczovL2Jsb2dzLm1pY3Jvc29mdC5jb20vd3AtY29udGVudC91cGxvYWRzL3Byb2Qvc2l0ZXMvNS8yMDI0LzEwL09wZW4tQ2xvdWQtQ29hbGl0aW9uLXBkZi5wZGYiLCJjb250ZW50VXVpZCI6Ijk5ZGYzNjkyLWY0YjQtNGRhMy05NTM1LTk5YmE4NDhkZDIwZiIsIm9yaWdpbmFsVXJsIjoiaHR0cHM6Ly9ibG9ncy5taWNyb3NvZnQuY29tL3dwLWNvbnRlbnQvdXBsb2Fkcy9wcm9kL3NpdGVzLzUvMjAyNC8xMC9PcGVuLUNsb3VkLUNvYWxpdGlvbi1wZGYucGRmIn0&signature=AQAAAZ-5fz4NMMQCL_2-iw4DBP8DnV075gS0rIVRDPMT1gsT&gcReferrer=https%3A%2F%2Fblogs.microsoft.com%2Fwp-content%2Fuploads%2Fprod%2Fsites%2F5%2F2024%2F10%2FOpen-Cloud-Coalition-pdf.pdf&refurl=https%3A%2F%2Fwww.engadget.com%2Fbig-tech%2Fmicrosoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html" class="link rapid-with-clickid etailiffa-link" rel="nofollow noopener" target="_blank" data-ylk="slk:recruitment document (PDF link);elm:affiliate_link;sellerN:;elmt:;cpos:2;pos:1;itc:0;sec:content-canvas">recruitment document (PDF link)</a> that makes no mention of the group’s claimed affiliation to Google. It also notes the involvement of Nicky Steward, who co-wrote a complaint against Microsoft and Amazon Web Services as part of the UK’s ongoing <a data-i13n="cpos:3;pos:1" href="https://www.engadget.com/microsoft-and-amazon-face-a-uk-antitrust-probe-over-cloud-services-151515071.html" data-ylk="slk:antitrust investigation into the cloud services market;cpos:3;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">antitrust investigation into the cloud services market</a>.</p><div></div><p>“It remains to be seen what Google offered smaller companies to join, either in terms of cash or discounts,” Microsoft says. It adds that one of the cloud providers Google approached about joining the Open Cloud Coalition claims that the company will direct the group to attack “Microsoft’s cloud computing business in the European Union and the United Kingdom.”</p><div class="caas-da "><div data-wf-benji-page-context='{"pageUrl":"https://www.engadget.com/big-tech/microsoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html","spaceid":"1197802876","site":"engadget","hashtag":"news;antitrust;google-cloud;google;microsoft;gear;business;internet;tech;informationtechnology","lmsid":"a0V0W00000HOQu8UAH","lpstaid":"99df3692-f4b4-4da3-9535-99ba848dd20f","pt":"content","pd":"non_modal","pct":"story"}' data-wf-benji-wafer-config={} data-wf-benji-config='{"positions":{"LREC1-99df3692-f4b4-4da3-9535-99ba848dd20f1739797488638":{"id":"LREC1-99df3692-f4b4-4da3-9535-99ba848dd20f1739797488638","region":"index","size":[[300,250]],"kvs":{"loc":"mid_center"},"path":"/22888152279/us/eng/ros/dt/us_eng_ros_dt_mid_center"}}}' id=sda-LREC1-99df3692-f4b4-4da3-9535-99ba848dd20f1739797488638 class="wafer-benji caas-sda-benji-ad caas-sda-gam-container caas-sda-gam-container-center" data-wf-trigger=onLoad data-wf-margin="100 0"><div id=sdaAdvText-LREC1-99df3692-f4b4-4da3-9535-99ba848dd20f1739797488638 class=caas-sda-adv-text>ADVERTISEMENT</div><div id=LREC1-99df3692-f4b4-4da3-9535-99ba848dd20f1739797488638><div class=caas-sda-gam-placeholder>Advertisement</div></div></div></div><p>Engadget was unable to independently verify Microsoft’s claims.</p><p>"We’ve been very public about our concerns with Microsoft’s cloud licensing. We and many others believe that Microsoft’s anticompetitive practices lock-in customers and create negative downstream effects that impact cybersecurity, innovation, and choice,” a Google spokesperson told Engadget, and pointed us to <a data-i13n="cpos:4;pos:1" href="https://urldefense.com/v3/__https://cloud.google.com/blog/products/gcp/ensuring-fair-and-open-competition-in-the-cloud?e=48754805__;!!Op6eflyXZCqGR5I!A5Rh_tjoYBlp_Ocyszi3R-lXhJ_aDuXct8YzOUWgHL2FI6VqGlzi_L-j_QzvgAKcRwZn-vjRV6xB2569sGmcsVmE$" rel="nofollow noopener" target="_blank" data-ylk="slk:four;cpos:4;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">four</a> <a data-i13n="cpos:5;pos:1" href="https://urldefense.com/v3/__https://workspace.google.com/blog/identity-and-security/securealternative__;!!Op6eflyXZCqGR5I!A5Rh_tjoYBlp_Ocyszi3R-lXhJ_aDuXct8YzOUWgHL2FI6VqGlzi_L-j_QzvgAKcRwZn-vjRV6xB2569sHLyftGl$" rel="nofollow noopener" target="_blank" data-ylk="slk:separate;cpos:5;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">separate</a> <a data-i13n="cpos:6;pos:1" href="https://urldefense.com/v3/__https://blog.google/technology/safety-security/csrb-report-google-recommendations/__;!!Op6eflyXZCqGR5I!A5Rh_tjoYBlp_Ocyszi3R-lXhJ_aDuXct8YzOUWgHL2FI6VqGlzi_L-j_QzvgAKcRwZn-vjRV6xB2569sLrahH8I$" rel="nofollow noopener" target="_blank" data-ylk="slk:blog;cpos:6;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">blog</a> <a data-i13n="cpos:7;pos:1" href="https://urldefense.com/v3/__https://cloud.google.com/blog/topics/inside-google-cloud/filing-eu-complaint-against-microsoft-licensing?e=48754805__;!!Op6eflyXZCqGR5I!A5Rh_tjoYBlp_Ocyszi3R-lXhJ_aDuXct8YzOUWgHL2FI6VqGlzi_L-j_QzvgAKcRwZn-vjRV6xB2569sGw_UK52$" rel="nofollow noopener" target="_blank" data-ylk="slk:posts;cpos:7;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">posts</a> on the matter.</p><p>As for why Google would potentially go to the extraordinary lengths of funding an astroturf campaign, Microsoft points to the recent uptick in regulatory scrutiny of the company’s search, advertising and mobile app store businesses. By Microsoft’s count, Google faces at least 24 antitrust investigations globally, including a Department of Justice probe that could see the <a data-i13n="cpos:8;pos:1" href="https://www.engadget.com/big-tech/the-justice-department-could-force-google-to-break-itself-up-123041161.html" data-ylk="slk:potential break up of the company;cpos:8;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">potential break up of the company</a>.</p><p>“Never in the past two decades have Google’s search, digital advertising, and mobile app store monopolies faced such a concerted and determined threat as they do today.” Alaily writes. “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. 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.”</p><p>The accusations come after Google had reportedly attempted to derail an antitrust settlement Microsoft had negotiated with the Cloud Infrastructure Services Providers in Europe (CISPE). In July, Bloomberg <a data-i13n="cpos:9;pos:1" href="https://www.bloomberg.com/news/articles/2024-07-16/google-offered-470-million-to-derail-microsoft-antitrust-pact" rel="nofollow noopener" target="_blank" data-ylk="slk:wrote;cpos:9;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">wrote</a> that Google had offered the group €470 million to go forward with litigation against its rival, an overture CISPE <a data-i13n="cpos:10;pos:1" href="https://cispe.cloud/cispe-and-microsoft-agree-settlement-in-fair-software-licensing-case/" rel="nofollow noopener" target="_blank" data-ylk="slk:ultimately rejected;cpos:10;pos:1;elm:context_link;itc:0;sec:content-canvas" class="link ">ultimately rejected</a>.</p><p>As revenue growth from digital ads has slowed for Google in recent years, the company has increasingly turned to the cloud market to pick up the slack. In 2023, Google’s cloud business broke even for the first time. More recently, the unit generated a $900 million profit in the first quarter of this year.</p><div class="commerce-disclaimer default wider-padding">If you buy something through a link in this article, we may earn commission.</div></div></div></div></div><aside class="caas-aside-section caas-slotted-aside"><div class=caas-sticky-sda><div class="caas-slotted-rr-sda wafer-managed"><div class=caas-docked-sda-container><div class="caas-da sticky-rr-ad"><div data-wf-benji-page-context='{"url":"https://www.engadget.com/big-tech/microsoft-accuses-google-of-secretly-funding-regulatory-astroturf-campaign-203804594.html","spaceid":"1197802876","site":"engadget","hashtag":"news;antitrust;google-cloud;google;microsoft;gear;business;internet;tech;informationtechnology","lmsid":"a0V0W00000HOQu8UAH","lpstaid":"99df3692-f4b4-4da3-9535-99ba848dd20f","pt":"content","pd":"non_modal","pct":"story"}' data-wf-benji-wafer-config='{"updateI13n":true}' 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function(usesABP) { if (usesABP) { var expires = new Date(); expires.setMinutes(expires.getMinutes() + cookieDuration); daTrk = '2'; w.wafer.utils.setCookie(cookieName, '2', {expires: expires, domain: location.hostname, path:'/'}); } // this fires rapid when we set cookie either 1 or 2 if ((!thamba && daTrk !== '0') && w.rapidInstance && w.rapidInstance.beaconEvent) { w.rapidInstance.beaconEvent("datrk", {pl1: daTrk}); } }); }; var ubDetection = function() { // primary check: create node has sensitive id on the fly const decoyId = 'my-ads'; const decoyNode = document.createElement('div'); decoyNode.setAttribute('id', decoyId); decoyNode.innerHTML = decoyId; document.body.appendChild(decoyNode); const decoyNodeIns = document.querySelector(`#${decoyId}`); if (decoyNodeIns && decoyNodeIns.offsetHeight === 0) { decoyNodeIns.remove(); return true; } decoyNodeIns.remove(); // additional check: check all necessary ad pos dimension if (shouldCheckPosition) { const { positions } = dabConfig; let adposNodeCount = 0; let hidenPosNodeCount = 0; for (const position of positions) { const adposNode = document.querySelector(`#${position}`); if (adposNode) { adposNodeCount += 1; if (adposNode.offsetHeight === 0) { hidenPosNodeCount += 1; } } } if (adposNodeCount > 0 && adposNodeCount === hidenPosNodeCount) { return true; } } return false; } var initABDetection = function() { var daTrk = '0'; var cExpiry = 0; var expires = new Date(); /* General AB Check */ var abSelector = document.getElementById('advertisement-thamba'); if (!abSelector) { daTrk = '1'; cExpiry = cookieDuration; } /* Specific AB Check */ if (dabConfig.enableUBDetection) { const isUBActive = ubDetection(); if (isUBActive) { daTrk = '1'; cExpiry = cookieDuration; } } expires.setMinutes(expires.getMinutes() + cExpiry); // Sets cookie if we have to clear (block -> non-blocked state) OR // set with value (non-block -> block state) if ((thamba && daTrk === '0') || (!thamba && daTrk === '1')) { w.wafer.utils.setCookie(cookieName, daTrk, {expires: expires, domain: location.hostname, path:'/'}); } // if (dabConfig.enableABPDetection && daTrk === '1') { // will uncomment when we can detect container collapsed if (dabConfig.enableABPDetection) { detectABP(daTrk); } }; w.wafer && w.wafer.utils && w.wafer.ready && w.wafer.ready(function () { setTimeout(initABDetection, dabConfig.detectionTimeout || 300); }); }(window)); </script><template id=wafer-lightbox-wrapper-template><div class=wafer-lightbox-wrapper tabindex=-1><div class=wafer-lightbox-content></div></div></template></body></html>

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