Microsoft has recently split its Teams collaboration application from its Office software globally. Initially separated in Europe last year due to potential competition violations, the company has now made the move in all regions. This decision comes after an investigation by the European Commission, prompted by a complaint from rival Slack in 2020.
Microsoft aims to provide clarity for customers and offer multinational companies more purchasing flexibility with this move. Teams was integrated into Office in 2017, but the split is part of Microsoft’s efforts to address feedback from the European Commission and adhere to competition laws. The standalone version of Teams will cost $5.25 for new customers. However, it remains uncertain if this change will prevent European Union antitrust charges, as the company has faced fines in the past for bundling products together.
Microsoft’s history with antitrust issues dates back to the late 1990s when the US Justice Department sued the company for anti-competitive practices related to its dominance in the Windows platform. Since then, Microsoft has made efforts to allow more competition and choice in the market, such as with internet browsers. After Teams was separated from Microsoft 365 and Office Suites in Europe, its user base remained stable, according to Sensor Tower data. Monthly active users of the Teams mobile app did not see significant changes in the first quarter of 2024.
