Microsoft faces legal action in Britain over a claim that thousands of businesses using cloud computing services provided by Amazon, Google and Alibaba could be paying higher licence fees to use Windows Server software.

Microsoft faces a dispute in the U.K. over how it charges customers who buy cloud software services that rival its own Azure, the latest antitrust challenge to the U.S. tech giant’s approach to licensing.

Microsoft was accused of unfairly overcharging customers of rival cloud companies including Amazon, Google and Alibaba Cloud in a U.K. lawsuit filed Tuesday.

Microsoft is in the crosshairs of a U.K. competition class-action style lawsuit that's seeking £1 billion (around $1.25 billion at current exchange rates) in damages. It revolves around accusations related to fees the software giant charged businesses and other organizations for licensing Windows Server when they were customers of rival cloud computing platforms.

A lawsuit has been filed against Microsoft in the UK for allegedly overcharging businesses for using its products.

A legal claim, valued at more than £1bn, has been filed with the UK's Competition Appeal Tribunal regarding Microsoft's controversial cloud licensing tactics

A claim filed to the Competition Appeal Tribunal alleges that companies using rival cloud computing platforms to Microsoft's own Azure were charged higher licensing fees to access its Windows Server

Microsoft faces legal action in Britain over a claim that thousands of businesses using cloud computing services provided by Amazon, Google and Alibaba could be paying higher licence fees to use Windows Server software.

A coalition of U.K. businesses has filed a lawsuit against Microsoft alleging unfair pricing. The suit accuses Microsoft of “punishing” organizations that use alternative cloud