Topics
late
AI
Amazon
Image Credits:David Wall / Getty Images
Apps
Biotech & Health
clime
Image Credits:David Wall / Getty Images
Cloud Computing
Commerce
Crypto
Enterprise
EVs
Fintech
Fundraising
Gadgets
Gaming
Government & Policy
Hardware
Layoffs
Media & Entertainment
Meta
Microsoft
privateness
Robotics
security measure
societal
blank
startup
TikTok
Transportation
speculation
More from TechCrunch
case
Startup Battlefield
StrictlyVC
Podcasts
Videos
Partner Content
TechCrunch Brand Studio
Crunchboard
adjoin Us
One of the elemental reasons that Slack joined forces withSalesforcein 2021 ina $ 28 billion dealwas to give the communications company the clout to contend withMicrosoft . For years , society co - laminitis Stewart Butterfieldrailed against Microsoftbundling Teams with Office 365 , calling it anticompetitive and saying at one point that Microsoft was “ unhealthily obsessed with killing Slack . ”
The companionship went so far as tofile a complaintagainst Microsoft with the European Union in 2020 .
This morning , Microsoft announcedit was finally unbundlingTeams from Office 365 in the future tense , although current client could carry on to use the bundled license .
Butterfieldstepped downfrom Slack at the destruction of 2022 , but he seemed less implicated about Microsoft after he became part of the CRM giant , telling TechCrunch ’s Connie Loizos in 2021 that squad seemed to bemore focused onmeeting software package like Zoom than Slack , and he was n’t aware of the condition of the complaint his company filed before becoming part of Salesforce .
Salesforce , for its part , did n’t have any input on the unbundling announcement , but Microsoft ’s bunch up strategy seems to have worked quite well , with the company reporting it has over 320 million user worldwide . Compare that with Slack , which has 32 million user or 10 % of Microsoft ’s total . It ’s hard to know what exactly that intend given the differences in how the two company count their users , but it ’s exonerated that Microsoft has afford up a significant lead .
perhaps Butterfield was right , but it ’s probably too late to matter . “ While Microsoft is unbundling Teams simply to avoid an antimonopoly mess , it ’s good for Salesforce / Slack for sure , but in many shipway it may be a Pyrrhic triumph , ” Alan Pelz - Sharpe , founding father and principal analyst at Deep Analysis , told TechCrunch . The grocery store has age to the head that many larger firms have made their selection , and since swapping out solution is n’t a trivial matter , unbundling Teams is unlikely to have an appreciable wallop on market portion .
Microsoft ’s announcement ostensibly allow for them to have their patty and rust it too , keep their existing customers under the existing Office 365 cluster accord , while charging succeeding customer for using the product , and presumably giving the companionship an debate with regulators that they ’ve unbundled Teams and are not in misdemeanor of any anticompetition rules .
Join us at TechCrunch Sessions: AI
Exhibit at TechCrunch Sessions: AI
In fact , Holger Mueller , an analyst at Constellation Research , say that this could be the first happening where an anticompetitive rule help oneself the vendor ’s business . “ Microsoft has simply trade team to enough fellowship with its live Office accounts and now no longer needs the vigor and index of the enterprise permission concord , ” Mueller said .
What ’s more , rather than aiding Slack , he sees this as aid Microsoft to get Teams into more accounts where companies were n’t buying Office 365 licenses . Redmond can now betray standalone Teams licenses into non - Microsoft shops much more easily , all while build good will with regulators , and still stick it to slack up in the suffer - alone market fight .
That is probably not the outcome that Butterfield envision when he commence plain about Microsoft all those age ago , but the regulatory outcome does n’t always come out in the path you expect , especially when the market shifts so dramatically in the intervening year — or Microsoft ’s bundling scheme just work .