UK Watchdog to Probe AWS, Azure, and Google Cloud Dominance

Daniel Attoe
Daniel Attoe

Updated · Sep 22, 2022

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The “hyperscalers” sit atop the cloud computing industry, raking in around 81% of the total revenue.

Checking Dominance

The United Kingdom’s media watchdog has said it will investigate competition in cloud services as part of a wide-reaching probe to ensure the smooth operations of the digital communications market. 

The Office of Communications (Ofcom) will examine the dominance of Amazon, Microsoft, and Google. The three US-based firms control the greater part of the UK’s £15 billion industry. “In the coming weeks,” Ofcom will undertake a study to examine their roles in the cloud services market.

Cloud computing use in the corporate world has soared over the last decade. Cloud companies use remote servers to provide storage, software, and computing services to individuals and businesses.

Ofcom says that the “hyperscalers” – Amazon Web Services (AWS), Microsoft Azure, and Google Cloud – generate up to 81% of revenues in the UK’s cloud infrastructure services market.

“Our study will formally assess how well this market is working,” it said in a press release. “We will examine the strength of competition in cloud services generally and the position the three hyperscalers hold in the market. We will also consider any market features that might limit innovation and growth in this sector.”

If it finds that the market “is not working well”, Ofcom plans to take measures, which could include enforcement action.

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Daniel Attoe

Daniel Attoe

Daniel is an Economics grad who fell in love with tech. His love for books and reading pushed him into picking up the pen - and keyboard. Also a data analyst, he's taking that leap into data science and machine learning. When not writing or studying, chances are that you'll catch him watching football or face-deep in an epic fantasy novel.

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