Microsoft Unbundles Teams and Office Worldwide Amid Antitrust Probe

Amid the ongoing antitrust scrutiny, Microsoft has announced its decision to globally separate its chat and video app Teams from its Office product, Reuters is reporting.

This announcement comes six months after Microsoft unbundled the products in Europe to avoid potential antitrust penalties from the European Union.

The European Commission has been investigating Microsoft’s integration of Office and Teams since a 2020 complaint by Slack, a competing workspace messaging app owned by Salesforce.

Teams, initially added to Office 365 for free in 2017, rose in popularity during the pandemic, particularly for its video conferencing capabilities.

Critics argue that bundling these products gives Microsoft an unfair competitive advantage, leading the company to offer them separately in the EU and Switzerland starting October 1st last year.

A Microsoft spokesperson states that this decision aims to provide clarity for customers globally and addresses feedback from the European Commission.

The company is introducing new commercial Microsoft 365 and Office 365 suites globally that exclude Teams, along with a standalone Teams offering for Enterprise customers in these regions.

Customers have the option to renew, update, or switch to the new offers starting April 1st, with varying prices depending on the product and region.

While Microsoft’s unbundling efforts aim to mitigate antitrust concerns, sources suggest that it might not be sufficient to avoid potential charges from the EU.