Britain’s £7.5 billion cloud services market is to be investigated by the UK competition watchdog, after regulator Ofcom raised concerns about the dominance of technology giants Amazon and Microsoft.
Fergal Farragher, Ofcom’s director responsible for the market study, said: “Some UK businesses have told us they’re concerned about it being too difficult to switch or mix and match cloud provider, and it’s not clear that competition is working well. Sarah Cardell, chief executive of the CMA, said: “This is a £7.5 billion market that underpins a whole host of online services, from social media to AI foundation models.
Millions of people and businesses have come to rely on cloud computing in recent years, with Ofcom estimating the market is now worth up to £7.5 billion in the UK alone. Users might also struggle to use more than one company’s services at the same time because the leading firms prevent some of their services working effectively alongside those from other suppliers.
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