The UK’s cloud computing market faces a competition probe over concerns that Amazon and Microsoft are ruling everything with an iron fist.
Media watchdog Ofcom said the two make up 70-80 per cent of the sector in the UK, while closest rival Google has 5-10 per cent.
Ofcom had said in April it was worried a lack of competition made it difficult for businesses to switch providers.
It has referred the sector to the UK’s Competition and Markets Authority (CMA) to look into the issue.
Amazon and Microsoft told the BBC they would work with the CMA as it conducts its investigation. However, Amazon said it felt Ofcom’s concerns were “based on a fundamental misconception” of the sector.
The services are used by businesses across the UK, and Ofcom estimated that in 2022 the cloud services market in the UK was worth up to £7.5 billion.