Due to a pledge to unbundle its company messaging app Groups from its productiveness suites, Microsoft has managed to slide unscathed by a serious antitrust investigation by the European Fee that would have resulted in huge fines for the tech big.

The Fee on Friday okayed Microsoft’s concessions to deal with the EU’s competitors issues over the corporate together with Groups together with the remainder of its Workplace productiveness suite at no cost, concluding a multi-year investigation that was sparked by complaints from rival workplace messaging app Slack in 2020.

Microsoft has promised that for the subsequent seven years, it should present Microsoft 365 and Workplace 365 with out Groups at a lower cost and can let clients select whether or not they need to pay extra so as to add the collaboration app to the suites.

The Fee has additionally managed to get Microsoft to comply with open up its APIs to allow interoperability for key options between its suite and third-party messaging and collaboration instruments, in addition to allow them to export their information out of groups for the subsequent 5 years.

In its investigation, the European authority accused Microsoft of breaching competitors guidelines by bundling groups with its productiveness suites, abusing its dominant place and granting Groups an undue benefit. In its preliminary findings, the Fee additionally stated that benefit was improved as a result of Groups was built-in with different Microsoft 365 apps like Excel, Outlook, SharePoint, and Phrase.

Microsoft tried to allay these issues by implementing a partial unbundling of Groups in April 2024, however the Fee felt extra intensive modifications have been wanted, following which the corporate provided a revised plan in Might 2025.

This approval is a win-win for each the EU and Microsoft, particularly as a result of there was no authorized battle. The Fee can say it’s wrung a giant compromise from Huge Tech. Now Microsoft is voluntarily providing some variations of each its productiveness suites with out Groups at a 50% lower cost in comparison with variations that bundle the app, worldwide.

And Microsoft dodged punitive measures and a giant advantageous, because the Fee’s penalties for breaching competitors guidelines can attain as much as 10% of annual world income — which, contemplating the tech big final yr recorded $245 billion in income, would have been truckloads of cash.

“We admire the dialogue with the Fee that led to this settlement, and we flip now to implementing these new obligations promptly and totally,” Nanna-Louise Linde, vice chairman of European Authorities Affairs at Microsoft, stated in an emailed assertion.

The Fee additionally famous that Slack and Alfaview, one other firm that had complained about Groups, have withdrawn their complaints following a market check by the Fee earlier this yr.

“With at the moment’s resolution, we make binding for seven years or extra Microsoft’s commitments to place an finish to its tying practices that could be stopping rivals from successfully competing with Groups,” Teresa Ribera, govt vice-president for Clear, Simply and Aggressive Transition on the European Fee, stated in a press release.

“At present’s resolution due to this fact opens up competitors on this essential market, and ensures that companies can freely select the communication and collaboration product that most closely fits their wants,” stated Ribera.

Word: This story was up to date so as to add a remark by Microsoft.