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Microsoft accuses Google of creating fake coalition to undermine its cloud services

Microsoft has escalated its rivalry with Google, alleging the tech giant is orchestrating a “front” campaign through the newly launched Open Cloud Coalition (OCC). According to Rima Alaily, Microsoft’s deputy general counsel, the OCC is funded by Google to harm Microsoft’s cloud services in Europe and sway policymakers. Google denies these accusations.

The OCC includes ten members, with Google Cloud as the most prominent. Other members are smaller European cloud providers like UK-based Centerprise and Pulsant, and Spain’s Gigas. The coalition claims its mission is to advocate for open standards, fair cloud regulations, and support for diverse providers.

Alaily claims Google hides its role by positioning independent providers as the OCC’s face. She also suggests Google aims to divert attention from its own regulatory battles, noting Google’s antitrust challenges in various regions.

Senior advisor Nicky Stewart, a former ICT strategy head for the UK Cabinet Office, leads the OCC. Alaily notes Stewart has previously criticized Microsoft’s sales tactics, arguing her stance shows bias.

Microsoft’s response also highlights a recent settlement with CISPE, a European cloud industry group that had accused Microsoft of unfair discounts tied to Azure. Alaily points out that the CISPE settlement excluded Google, Amazon, and Alibaba, asserting that those giants hold unique positions in the market.

Meanwhile, Google insists its OCC involvement reflects a commitment to fair competition. It recently filed a complaint with the European Commission, arguing Microsoft’s licensing terms inflate costs for non-Azure users.

As both companies trade accusations, OCC’s members assert their independence, but Microsoft’s “astroturfing” label raises questions about the coalition’s true purpose.

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