In a dramatic escalation of its ongoing regulatory battles, Microsoft has formally requested an investigation into allegations that the Federal Trade Commission (FTC) improperly leaked details of its antitrust probe. The tech giant is demanding transparency and accountability from the agency, highlighting a growing rift between Silicon Valley and Washington.
The Leaked Investigation
The controversy erupted after Bloomberg first reported on the FTC's investigation last week, which was later confirmed by The Verge. The probe is centered on Microsoft's dominance in cloud computing, software licensing, artificial intelligence, and cybersecurity.
Microsoft's corporate vice president and deputy general counsel, Rima Alaily, has leveled serious accusations against FTC management, alleging that the agency violated its own ethics guidelines by leaking sensitive information. Alaily pointed to a recent FTC Inspector General report that documented a significant increase in unauthorized disclosures to the press.
Microsoft's Growing Concerns
The company has expressed deep concern over the lack of transparency and due process in the FTC's investigation. Microsoft claims it learned about the information demand through the Bloomberg report, raising questions about the agency's handling of confidential information. Despite inquiries to FTC staff, Microsoft has yet to receive official confirmation of the information demand.
This isn't the first time Microsoft has found itself at odds with regulators. In recent years, the company has faced increased scrutiny over its business practices, including its acquisition of Activision Blizzard and its partnership with OpenAI. Additionally, Microsoft has publicly accused Google of launching a smear campaign to discredit the company with competition authorities and policymakers.
A Shifting Regulatory Landscape
The tech industry is facing a period of heightened regulatory scrutiny, with antitrust enforcement a major focus for US regulators. While Microsoft has historically been less of a target than its peers, recent controversies have placed the company squarely in the crosshairs.
The outcome of the FTC's investigation and any potential legal actions will depend on the priorities of the incoming Trump administration. However, Microsoft's aggressive stance signals a new era of heightened regulatory scrutiny for the tech industry.
Key Takeaways:
- Microsoft accuses the FTC of leaking details of its antitrust investigation.
- The probe focuses on Microsoft's cloud, software licensing, AI, and cybersecurity businesses.
- Microsoft claims the FTC's actions violate its own ethics guidelines.
- The company has previously accused Google of a smear campaign.
- The tech industry faces increased regulatory scrutiny in the US.
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