EU Probe Prompts Microsoft To Unbundle Teams App From Productivity Suitea
Portfolio Pulse from Anusuya Lahiri
Microsoft Inc (NASDAQ:MSFT) is modifying its sales approach for its Teams videoconferencing software in Europe following an EU antitrust probe. From October, Microsoft will offer a cheaper version of its productivity tools without Teams to European business consumers. The decision comes after rival Salesforce, Inc (NYSE: CRM) complained about Microsoft automatically installing Teams on customers' devices. Microsoft will reduce the price of its software suites that exclude Teams by approximately $2 monthly for most European business consumers.
August 31, 2023 | 12:39 pm
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Microsoft is changing its sales approach for Teams in Europe following an EU antitrust probe, which could impact its revenue in the region.
The EU probe and subsequent changes to Microsoft's sales approach for Teams in Europe could potentially impact the company's revenue in the region. The decision to offer a cheaper version of its productivity tools without Teams could lead to a decrease in revenue from Teams.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 100
NEUTRAL IMPACT
Salesforce had previously complained about Microsoft automatically installing Teams on customers' devices, which led to the EU probe.
Salesforce's complaint led to the EU probe into Microsoft's sales practices for Teams. However, the direct impact on Salesforce's stock is unclear as the probe is primarily focused on Microsoft.
CONFIDENCE 80
IMPORTANCE 50
RELEVANCE 50