The European Commission has accepted Microsoft’s proposal to offer versions of its productivity suites without the Teams communication platform, bringing an end to a significant antitrust dispute that began with Slack’s complaint over five years ago.

The resolution comes after Microsoft started offering Teams-free versions of its software packages worldwide in 2024. Following market testing in the EU, the company made additional price reductions for these unbundled offerings, while maintaining the option for customers to purchase versions that include Teams.

The agreement requires Microsoft to improve interoperability with competing services and make it easier for users to transfer their data to other platforms. These commitments will be enforced for seven years, with the interoperability and data portability requirements extending to ten years. A monitoring trustee will oversee compliance, and any violations could result in penalties of up to 10% of Microsoft’s global revenue.

The settlement marks the conclusion of a process that began when Slack filed its initial antitrust complaint in 2020, followed by EU regulators launching their formal investigation in 2023. During this period, the technology landscape has evolved significantly, with Slack being acquired by Salesforce and Microsoft Teams growing to
approximately 300 million monthly active users.

A second company, Alfaview GmbH, had joined the dispute by filing its own complaint in 2024. Both Alfaview and Slack have now withdrawn their complaints following the resolution.

The agreement represents a significant shift in Microsoft’s approach to bundling its services, as the company will now maintain separate pricing tiers for packages with and without Teams. This resolution demonstrates the EU’s continuing influence in shaping tech company practices and promoting competition in the digital marketplace.

The development comes at a time when the tech industry’s focus has largely shifted toward artificial intelligence, yet underscores the ongoing importance of addressing competition concerns in established software markets. The settlement ensures that customers have more choice in how they purchase and use productivity software while maintaining the ability to integrate communication tools according to their preferences.