This move follows the FTC’s legal challenge against Microsoft’s $75 billion acquisition of Activision Blizzard, which faced antitrust concerns around Microsoft’s cloud gaming business. While a federal court allowed the acquisition to proceed, the FTC’s appeal highlights its commitment to maintaining oversight of Big Tech’s market reach.

The agency’s antitrust investigation continues Biden administration scrutiny of Big Tech as the industry waits to discover what policies Donald Trump adopts.

The Financial Times, referencing unnamed “people with direct knowledge of the matter,” reported that the FTC is examining allegations that Microsoft is abusing its market power by imposing punitive licensing terms to prevent customers from moving their data from Azure to other platforms.

The Federal Trade Commission, led by Lina Khan, had previously sought public feedback on Microsoft's cloud computing business.

The U.S. Federal Trade Commission is preparing to launch an investigation into anti-competitive practices at Microsoft's cloud computing business, sources familiar with the matter told Reuters on Thursday.