Microsoft has highlighted growing concerns over Google ’s alleged “shadow campaigns” in Europe, which aim to covertly influence cloud regulation against Microsoft. In a recent blog post, Rima Alaily - CVP, Deputy General Counsel , claims Google has been engaging in astroturfing, supporting organizations that front as grassroots groups but are designed to push Google’s interests under the guise of neutrality.
Google apparently enlisted a European lobbying and communications agency to form a new group targeting Microsoft’s cloud services. According to a European cloud provider who declined to participate and alerted Microsoft, the organization would primarily be funded and led by Google to challenge Microsoft in the EU and UK.
“One of the companies approached, who ultimately declined, told us that the organization will be directed and largely funded by Google for the purpose of attacking Microsoft’s cloud computing business,” Alaily said.
The post also describes how Google allegedly offered the industry organization CISPE (Cloud Infrastructure Services Providers in Europe) a significant sum to continue a complaint against Microsoft, which CISPE members declined. Microsoft suggests Google is attempting to deflect from the intense regulatory scrutiny it faces globally, including 24 antitrust investigations. Google is said to have funded and directed various lobbying efforts to discredit competitors, lobbying competition authorities to classify it as a smaller player in cloud markets, even though its 3,500 MW datacenter capacity and rapid growth position it among hyperscale providers.
Microsoft argues that Google’s methods aim to tilt the regulatory landscape in favor of its Google Cloud Platform (GCP) rather than competing fairly. It asserts that Google has also been attempting to stir concerns over cybersecurity, data localization, and cloud interoperability. Microsoft states that it is committed to transparency, with changes to licensing practices and enterprise solutions based on legitimate concerns, not orchestrated campaigns.
In light of Google’s alleged tactics, Microsoft is pushing for transparent practices within the tech industry to prevent what it calls “disingenuous lobbying.” For Microsoft, the situation emphasizes a call for regulators to examine the real impact of tech lobbying, prioritizing fair competition over shadowy campaigns.
Google has yet to respond directly to these specific accusations. In previous statements, however, the company has maintained that its support for think tanks and advocacy groups is part of promoting innovation and fair competition within the tech industry. Google may argue that it supports various policy perspectives through partnerships to align with its strategic interests, much like other global tech firms.
