The Amazon AWS computer unit talks to Italy to invest billions of euros in an extension of activities in the data center in this country as part of the efforts of a technological giant to increase the offer in the cloud in Europe, four people familiarized with this matter gave.
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The London-British Antitrust Supervisory Authority on Tuesday aroused concerns about competition on the cloud processing market with multi-billion pounds and distinguished Microsoft and Amazon as dominant players.
The independent group of questions about competition and markets temporarily recommended that the regulator considers the Amazon Web Services (AWS) and Azure Cloud Microsoft study based on new regulations regarding digital markets.
In a statement, CMA said that he estimates that the cloud service market was worth $ 9 billion (USD 11.18 billion) in 2023-a number growing by more than 30% year-on-year. MOTH excellent Currently, companies have a limited selection of suppliers when it comes to cloud services.
The regulator called AWS and Microsoft “two large cloud service providers, each with a share of up to 40% of customer expenditure in Great Britain for cloud services.”
In particular, he added that Google was the third largest supplier “with much less share”.
“Not justified”
Rima Alaily, corporate vice president and deputy advisor for composing in Microsoft, said by e-mail that the CMA report project “should focus on paving the future in Great Britain, not inferior to older products launched last century. “
“The cloud processing market has never been so dynamic and competitive, attracting billions of investments, new participants and quick innovations. What could be better for British companies and the government? ” Alyily was added.
AWS spokesman said that the recommended CMA intervention “is not justified”, adding that “evidence shows that the IT service industry is highly competitive.”
“Calculations in the cloud reduced costs for British companies thanks to services on demand and valuation, extended product selection and increased competition and innovations,” AWS spokesman added.
The Amazon division called CMA to “think carefully on how regulatory intervention in other areas suppresses innovation and ultimately harm clients in Great Britain.”
Rynek in the cloud in the spotlight
Earlier, CMA said that this applies to several elements of the market in the cloud, which could constitute problems with competition, including so -called “exit” fees from data transfers from one cloud to another, licensing fees, volume discounts and problems of interference, which make it difficult is to change the supplier.
The CMA probe takes its history until 2022, when the British telecommunications regulator ofCom started a market research Cloud giants dominance examination AmazonIN Microsoft AND Google. Ofcom later He directed a cloud review to CMA To solve the problems with the competition on the market.
The cloud infrastructure services are a market dominated by the American Giants of Amazon and Microsoft technology. Amazon is the largest player offering cloud services via Amazon Web Services (AWS). Microsoft is the second largest by selling products in the cloud under the Microsoft Azure unit.