Microsoft (MSFT) was “being proactive” when it unbundled Teams from Office globally, Macquarie said in a note Monday, citing a Reuters report on the company’s decision.
The company did the same in Europe in 2023 to avoid the scrutiny of antitrust investigators after Slack owner Salesforce (CRM) accused Microsoft of abusing its market power in the operating system space to drive out competitors like Slack in the messaging field.
Macquarie said that considering history, it wouldn’t be surprising if the company’s moves on Monday don’t sway the regulators examining Microsoft.
“Microsoft’s rationale for the new rollout makes sense,” the firm said, “though we note it is unlikely to deter competitors’ complaints altogether, particularly around the competitiveness of fees and the ongoing ability of Teams-competitive products to natively integrate with the rest of the Office application portfolio.”
The firm said that Microsoft’s announcement showed that it is willing to compromise where it deems it necessary to drive greater adoption of products and business strategies that affect the company’s long-term growth.
Macquarie maintained its outperform rating and $455 target price on Microsoft stock.