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EU Microsoft Teams Antitrust Case: From 2024 Charges to 2025 Commitments

The May 2024 report anticipated formal EU action over Teams bundling. The case ultimately ended with binding Microsoft commitments in 2025, not a publicly reported fine.
From TheFinanceBase Team5 min to read
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The May 13, 2024 report that the European Commission was preparing antitrust charges against Microsoft was substantially accurate: on June 25, the Commission issued a formal Statement of Objections over Teams’ inclusion in Microsoft 365 and Office 365. The case did not end in a publicly reported infringement ruling or fine. On September 12, 2025, the Commission accepted legally binding commitments from Microsoft addressing unbundling, switching, interoperability and data portability.

What the May 2024 report said

Contemporary coverage reported that the Commission was preparing to accuse Microsoft of potentially anticompetitive conduct despite Microsoft’s decision to sell Microsoft 365 and Office 365 plans without Teams. The concern was broader than whether a Teams-free option existed: regulators and competitors were examining whether pricing, product integration and access to Microsoft technologies gave Teams an advantage over rival collaboration services. Thurrott’s May 13, 2024 report summarized the forward-looking story; the Commission’s formal action followed six weeks later.

The distinction matters. A report that charges are being prepared is not itself a legal finding, and the Commission’s later Statement of Objections expressed a preliminary view rather than a final judgment.

What the Commission was investigating

Slack complained to the Commission on July 14, 2020, alleging that Microsoft illegally tied Teams to its business productivity software. The Commission opened formal proceedings on July 27, 2023. Its inquiry concerned Microsoft’s commercial offerings for businesses, particularly Office 365 and Microsoft 365—not every consumer subscription or every edition of Teams.

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  • Whether bundling Teams with productivity applications deprived customers of a meaningful choice to buy those applications without Teams.
  • Whether Microsoft’s integration and interoperability practices disadvantaged competing communications and collaboration tools.
  • Whether those practices could harm rival providers in the European Economic Area.

The Commission described its investigation when it announced the opening of proceedings; the AT.40721 case document records the formal case background.

Why Microsoft unbundled Teams—and why that did not end the case

Microsoft announced in August 2023 that, starting October 1, it would sell Microsoft 365 and Office 365 enterprise suites without Teams in the European Economic Area and Switzerland, while offering Teams separately. Switzerland is not an EU member, though Microsoft included it in this announced licensing change. Microsoft said existing enterprise customers could stay on their current plans or move to plans without Teams.

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In its 2023 announcement, Microsoft listed standalone Teams at €5 per user per month or €60 per user per year and said Teams-free enterprise suites would cost €2 per user per month or €24 per user per year less. Those are figures from that announcement, not a current 2026 price quote; actual licensing terms can vary by region, plan and contract. Microsoft’s announcement set out the initial European structure. Microsoft later extended commercial unbundling more broadly, but the initial announcement’s specific geographic scope should not be confused with the Commission’s jurisdiction or the later remedies.

Offering a separate SKU did not by itself answer the Commission’s questions. The regulator could still examine whether the price difference gave customers a genuine choice, whether existing customers could switch without undue contractual friction, and whether competing services had practical interoperability and usable data-portability options. In other words, a product can be technically available separately while the surrounding licensing and ecosystem still matter to competition.

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What the June 2024 Statement of Objections meant

On June 25, 2024, the Commission issued Microsoft a Statement of Objections. It set out the Commission’s preliminary view that Microsoft had abused a dominant position by tying Teams to its business productivity suites, in breach of EU competition rules. The legal theory involved Article 102 of the Treaty on the Functioning of the European Union, which prohibits abuse of a dominant position; having a dominant position is not, by itself, unlawful.

A Statement of Objections is a formal procedural step that tells a company the Commission’s preliminary case and gives it an opportunity to respond. It is not a final infringement decision, a court judgment, an admission by Microsoft or a fine. The Commission’s June 25 announcement described its preliminary position. The case record lists Microsoft’s response as received on October 9, 2024 (Commission case document).

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How the case ended: binding commitments, not a reported fine

After Microsoft proposed commitments, the Commission invited comments on them in May 2025. On September 12, 2025, it accepted the commitments, making them legally binding under EU antitrust rules. The measures covered four practical areas:

  1. Unbundled plans: Microsoft must offer Microsoft 365 and Office 365 versions without Teams at a reduced price.
  2. Switching: Customers with longer-term licenses must be allowed to move to plans without Teams.
  3. Interoperability: Competing communications and collaboration tools must receive interoperability with selected Microsoft products.
  4. Data portability: Customers must be able to export Teams data to help them use competing services.

The Commission’s May 2025 notice on proposed commitments and its September 2025 acceptance announcement describe the progression. The available outcome is acceptance of binding remedies, not a publicly reported final infringement ruling or fine in this Teams matter. Contemporary coverage discussed the possibility of a fine of up to 10% of worldwide annual turnover under EU rules, but that was a potential legal maximum, not a penalty imposed here.

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What the outcome means for business customers

The case was about competition and choice, not a Commission recommendation that organizations abandon Teams. For a business reviewing its collaboration software, the practical questions are whether employees use Teams, whether Microsoft integrations are important to daily work, and what switching would involve.

  • Compare the actual bundled and Teams-free offers available under your region, license and contract rather than relying on historical list prices.
  • Check whether your organization’s agreement permits a move to a plan without Teams and what timing or renewal conditions apply.
  • Assess whether exported data and interoperability meet your operational needs; a formal right is most useful when the available tools support a workable migration.
  • Include training, administration and workflow changes in any comparison with alternatives. The Commission’s commitments do not endorse a particular rival or make migration cost-free.

For competing providers, the remedies make interoperability and data portability central to assessing whether customers can realistically use alternatives. Whether those measures deliver effective access in practice is a separate question from the fact that the Commission made them binding.

Timeline: report, formal action and resolution

Date Event What it established
July 14, 2020 Slack complaint Raised the allegation that Teams was tied to Microsoft productivity suites.
July 27, 2023 Commission opened proceedings Started the formal investigation into bundling and related competition concerns.
October 1, 2023 Microsoft’s announced European unbundling began Microsoft offered enterprise suites without Teams in the EEA and Switzerland.
May 13, 2024 Report that charges were being prepared Anticipated formal Commission action; was not itself a decision.
June 25, 2024 Statement of Objections Set out the Commission’s preliminary view and gave Microsoft an opportunity to respond.
September 12, 2025 Commission accepted commitments Made Microsoft’s remedies legally binding under EU antitrust rules.

How this differs from a Digital Markets Act case

The Teams investigation discussed here proceeded under traditional EU competition law, particularly Article 102 TFEU. It was not the same proceeding as a Digital Markets Act gatekeeper designation or a DMA noncompliance case. The legal framework and procedural outcome described here should therefore not be treated as interchangeable with separate EU digital-regulation actions.

Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.

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