Report: Microsoft Threatens to Restrict Data from Rival AI Search Tools

A Microsoft logo is seen on an office building in New York City, US on July 28, 2015. REUTERS/Mike Segar
A Microsoft logo is seen on an office building in New York City, US on July 28, 2015. REUTERS/Mike Segar
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Report: Microsoft Threatens to Restrict Data from Rival AI Search Tools

A Microsoft logo is seen on an office building in New York City, US on July 28, 2015. REUTERS/Mike Segar
A Microsoft logo is seen on an office building in New York City, US on July 28, 2015. REUTERS/Mike Segar

Microsoft Corp has threatened to cut off access to its internet-search data, which it licenses to rival search engines, if they do not stop using it as the basis for their own artificial intelligence chat products, Bloomberg News reported on Friday.

The company has told at least two customers that using its Bing search index - a map of the internet that can be scanned in real time - to feed their AI chat tools violates the terms of their contract, the news agency said, citing people familiar with the dispute.

Redmond, Washington-based Microsoft may also terminate licenses providing access to its search index, Bloomberg added.

Microsoft did not immediately respond to a request for a comment.

The maker of the Windows operating system had said in February it was revamping its Bing search engine and Edge Web browser with artificial intelligence, signaling its ambition to retake the lead in consumer technology markets where it has fallen behind.

The upgraded Bing search engine was rolled out to users late last month.



Microsoft Lays Out Data Protection Plans for European Cloud Customers

Microsoft Chairman and Chief Executive Officer Satya Nadella is pictured onstage during the Microsoft Build conference opening keynote in Seattle, Washington on May 19, 2025. (Photo by Jason Redmond / AFP)
Microsoft Chairman and Chief Executive Officer Satya Nadella is pictured onstage during the Microsoft Build conference opening keynote in Seattle, Washington on May 19, 2025. (Photo by Jason Redmond / AFP)
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Microsoft Lays Out Data Protection Plans for European Cloud Customers

Microsoft Chairman and Chief Executive Officer Satya Nadella is pictured onstage during the Microsoft Build conference opening keynote in Seattle, Washington on May 19, 2025. (Photo by Jason Redmond / AFP)
Microsoft Chairman and Chief Executive Officer Satya Nadella is pictured onstage during the Microsoft Build conference opening keynote in Seattle, Washington on May 19, 2025. (Photo by Jason Redmond / AFP)

Microsoft on Monday said data stored by its European cloud customers would stay in Europe, under European Law, with operations controlled by its local personnel, and under full control of customers.

European companies and governments have been increasingly worrying about their data being moved outside the continent into the hands of other countries such as the US, pushing the American companies such as Microsoft to announce safeguards.

Microsoft in April laid out plans to protect user data as it expands its cloud and AI infrastructure in Europe, including respecting European laws seeking to rein in the power of large technology companies.

On Monday, the company said all remote access by Microsoft engineers to the systems that store and process European data would be approved and monitored by European resident personnel in real-time.

Microsoft said its sovereign private cloud is in preview mode currently and will be generally available later this year.