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The European Commission issued a statement of objections, alleging Microsoft’s practice since 2019 gave Teams an unfair market advantage and limited interoperability with competing software. In June 2024, Microsoft faced a potential EU fine after regulators accused it of abusing market power by bundling its Teams video-conferencing app with its Office 365 and Microsoft 365 software. People who use its products and services often end up becoming dependent on them, a process known as vendor lock-in. The company is often referred to as a “Velvet Sweatshop”, a term which originated in a 1989 Seattle Times article, and later became used to describe the company by some of Microsoft’s own employees. Historically, Microsoft has also been accused of overworking employees, in many cases, leading to burnout within just a few years of joining the company. Frequently criticized are the ease of use, robustness, and security of the company’s software.

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• Historically, Microsoft has also been accused of overworking employees, in many cases, leading to burnout within just a few years of joining the company.
• In January 2020, the company announced a strategy to take the company carbon negative by 2030 and to remove all carbon that it has emitted since its foundation in 1975.
• Microsoft implemented a new strategy for the software industry, providing a consistent user experience across all smartphones using the Windows Phone OS.
• On March 13, 2020, Gates announced that he is leaving the board of directors of Microsoft and Berkshire Hathaway to focus more on his philanthropic efforts.
• Among grant recipients from the Asia-Pacific region are the Sri Lankan IT company Fortude, the Thailand-based Vulcan Coalition, and the Indonesian organization Kerjabilitas.
• In 2013, Microsoft agreed to buy power generated by a Texas wind project to power one of its data centers.
• Microsoft moved its headquarters from Bellevue to Redmond, Washington, on February 26, 1986, and went public with an initial public offering (IPO) at the NASDAQ exchange on March 13, with the resulting rise in stock making an estimated four billionaires and 12,000 millionaires from Microsoft employees.

The Human Rights Campaign Corporate Equality Index, a report of how progressive the organization deems company policies towards LGBT employees, rated Microsoft as 87% from 2002 to 2004 and as 100% from 2005 to 2010 after it allowed gender expression. Bill Gates claims the cap on H1B visas makes it difficult to hire employees for the company, stating “I’d certainly get rid of the H1B cap” in 2005. The group, accessed “a very small percentage” of Microsoft corporate email accounts, which also included members of its senior leadership team and employees in its cybersecurity and legal teams.

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In April 2016, the company sued the U.S. government, argued that secrecy orders were preventing the company from disclosing warrants to customers in violation of the company’s and customers’ rights. A Microsoft spokesperson stated that the corporation runs several programs that facilitate the sharing of such information with the U.S. government. In July 2025, Microsoft announced another round of layoffs, cutting approximately 9,000 employees in its largest workforce reduction in over two years.

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In November 2018, the company won a $480 million military contract with the U.S. government to bring augmented reality (AR) headset technology into the weapon repertoires of American soldiers. On November 14, 2014, Microsoft overtook ExxonMobil to become the second most-valuable company by market capitalization, behind only Apple Inc. As of January 2014, Microsoft’s market capitalization stood at $314B, making it the 8th-largest company in the world by market capitalization. Consequently, in February 2011 Microsoft released a corporate bond amounting to $2.25 billion with relatively low borrowing rates compared to government bonds. The company is run by a board of directors made up of mostly company outsiders, as is customary for publicly traded companies.

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The increased necessity for remote work and distance education drove demand for cloud computing and grew the company’s gaming sales. On September 21, 2020, Microsoft announced its intent to acquire video game company ZeniMax Media, the parent company of Bethesda Softworks, for about $7.5 billion, with the deal expected to occur in the second half of 2021 fiscal year. In February 2019, hundreds of Microsoft employees protested the company’s war profiteering from a $480 million contract to develop virtual reality headsets for the United States Army. In December 2018, Microsoft announced Project Mu, an open source release of the Unified Extensible Firmware Interface (UEFI) core used in Microsoft Surface and Hyper-V products. In May 2018, Microsoft partnered with 17 American intelligence agencies to develop cloud computing products.
During the first six months of 2013, Microsoft received requests that affected between 15,000 and 15,999 accounts. Following media reports about PRISM, NSA’s massive electronic spinnaus sign up surveillance program, in May 2013, several technology companies were identified as participants, including Microsoft. The layoffs primarily affected Activision Blizzard employees, but some Xbox and ZeniMax employees were also affected. As a result, the company will record an impairment and restructuring charge of approximately $950 million, of which approximately $200 million will relate to severance payments.

• The company’s retail locations are part of a greater strategy to help build a connection with its consumers.
• Consequently, in February 2011 Microsoft released a corporate bond amounting to $2.25 billion with relatively low borrowing rates compared to government bonds.
• The company has a history of antitrust battles in the U.S. and Europe, with over €2 billion in EU fines previously imposed for similar abuses.
• In January 2018, Microsoft patched Windows 10 to account for CPU problems related to Intel’s Meltdown security breach.
• In June 2016, Microsoft announced a project named Microsoft Azure Information Protection.
• Bill Gates claims the cap on H1B visas makes it difficult to hire employees for the company, stating “I’d certainly get rid of the H1B cap” in 2005.
• On October 26, 2015, the company opened its retail location on Fifth Avenue in New York City.

At the time, data centers consumed up to 2% of all global electricity, and this amount was projected to increase. Noted for its internal lexicon, the expression “eating your own dog food” is used to describe the policy of using pre-release and beta versions of products inside Microsoft to test them in “real-world” situations. Helpful people can be elected by peers or Microsoft employees for Microsoft Most Valuable Professional (MVP) status, which entitles them to a sort of special social status and possibilities for awards and other benefits. Free technical support is traditionally provided through online Usenet newsgroups, and CompuServe in the past, monitored by Microsoft employees; there can be several newsgroups for a single product.
In 1990, the Federal Trade Commission examined Microsoft for possible collusion due to the partnership with IBM, marking the beginning of more than a decade of legal clashes with the government. Microsoft released its version of OS/2 to original equipment manufacturers (OEMs) on April 2, 1987. IBM had copyrighted the IBM PC BIOS, so other companies had to reverse engineer it for non-IBM hardware to run as IBM PC compatibles, but no such restriction applied to the operating systems.
The organization requested that European data protection authorities investigate whether this data processing complies with EU law. In June 2025 Microsoft helped suspend the email account of an International Criminal Court (ICC) prosecutor in the Netherlands who was investigating Israel for war crimes in order to comply with a Trump executive order. Concerns were raised about Microsoft’s licensing practices potentially locking customers into its services and its AI investments possibly sidestepping regulatory oversight. This inquiry is part of broader efforts by the U.S. government to curb the power of major tech companies, especially under FTC chair Lina Khan. In November 2024, the Federal Trade Commission (FTC) launched an investigation into Microsoft, focusing on potential antitrust violations related to its cloud computing, AI, and cybersecurity businesses.

Microsoft plans to incorporate Ally.io into its Viva family of employee experience products. On October 7, Microsoft acquired Ally.io, a software service that measures companies’ progress against OKRs. The acquisition positioned Microsoft to grow its presence in the market of providing online education to large numbers of people. In April 2021, Microsoft announced it would buy Nuance Communications for approximately $16 billion.
In April the company further expressed willingness to embrace open source initiatives by announcing Azure Sphere as its own derivative of the Linux operating system. In April 2018, Microsoft released the source code for Windows File Manager under the MIT License to celebrate the program’s 20th anniversary. On January 12, Microsoft released PowerShell Core 6.0 for the macOS and Linux operating systems. In May 2016, the company announced it was laying off 1,850 workers, and taking an impairment and restructuring charge of $950 million. During the summer of 2015 the company lost $7.6 billion related to its mobile-phone business, firing 7,800 employees. To cope with the potential for an increase in demand for products and services, Microsoft opened a number of “holiday stores” across the U.S. to complement the increasing number of “bricks-and-mortar” Microsoft Stores that opened in 2012.

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