Microsoft has escaped a fine from the European Commission after facing antitrust charges for bundling its Teams app with Office 365 and Microsoft 365 subscriptions.
The Commission accepted commitments from Microsoft aimed at restoring competition in the business collaboration software market, following a complaint filed by Slack in July 2020.
Under the agreement, Microsoft will offer Office suites without Teams at a lower price, allow customers with long-term licenses to switch to suites without Teams, and guarantee interoperability between competing apps and Microsoft products. The company has also pledged to make it easier for customers to move their data out of Teams to use alternative solutions.
Most commitments will remain in place for seven years, with interoperability and data portability obligations lasting for ten years. Microsoft had already started unbundling Teams in Europe in 2023 and later separated it globally as regulatory pressure increased.
The Commission said the commitments address concerns that Microsoft “illegally tied” Teams to Office, a claim originally made by Slack. Teresa Ribera, executive vice president at the European Commission, noted that the decision will “open up competition in this crucial market” and give businesses the freedom to choose the collaboration tools that best fit their needs.
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