Microsoft Proposes to EU to Separate Office and Teams Sales, Price Cut Up to 64 RMB, Potentially Ending Antitrust Dispute

Tech giant Microsoft has taken a crucial step to resolve the EU’s antitrust investigation. According to the latest announcement from the European Commission, Microsoft has formally submitted a proposal to separate its collaboration tool Teams from the Office suite for individual sale, while reducing the price of Office products without Teams by up to 8 euros (approximately 64 RMB). This move may bring an end to the four-year-long antitrust dispute.

The proposal stems from a 2020 complaint filed by Slack (now a Salesforce product) accusing Microsoft of monopolistic practices by bundling Teams with Office. If the allegations are upheld, Microsoft could face fines up to 10% of its global annual revenue. Microsoft’s Vice President of European Affairs, Lind, stated that the new proposal will offer European customers more choices and address competitors’ concerns.

Under the proposal, European business customers can choose to purchase Office 365 or Microsoft 365 suites without Teams, with prices lowered compared to the current versions. Microsoft emphasized that the maximum price difference between the two versions will not exceed 8 euros. The company also pledged to open interoperability of core Office applications, allowing third-party software providers to embed web versions of Word, Excel, and more for deep integration.

Moreover, EU users will be able to migrate their Teams chat history to competing platforms. The price adjustment clause will be valid for seven years, and the cross-platform compatibility clause will last ten years. Microsoft said that if the proposal is approved, it will simultaneously adjust Office and Teams pricing strategies globally.

The European Commission is currently soliciting industry feedback, with a final decision expected to be announced in the coming months.