The Competition Commission of India (CCI) has dismissed the complaint Against Microsoft for Bundling Antivirus Software Microsoft Defender with Windows.
The bench of Ravneet Kaur (Chairperson), members Anil Agrawal, Sweta Kakkad and Deepak Anurag has observed that non-MVI antivirus developers are not restricted from distributing their applications on Windows, as they can do so through the Microsoft Store and direct downloads from their websites. While non-MVI applications cannot automatically disable Microsoft Defender, they can operate concurrently, and the claim that non-MVI members are blocked is inaccurate. Instead, such applications undergo enhanced scrutiny to ensure that only legitimate software interacts with Microsoft Defender while maintaining user protection.
The Informant stated that starting with Windows 10, separate commercial arrangements to pre-install and pre-activate third-party antivirus software are no longer possible. As only one default antivirus app is allowed on Windows devices, third-party developers may get their software pre-installed through agreements but cannot have it pre-activated. Being set as the default is essential for an antivirus program’s functionality, including performing automated background system scans—a core feature distinguishing antivirus software. Without default status, third-party apps lack access to critical features like real-time protection, on-demand scanning, and automatic updates, which are only available to the default antivirus app. Consequently, third-party antivirus apps may struggle to compete effectively and could face elimination from devices due to their inability to function optimally.
The Informant submitted that even third-party antivirus developers compliant with Microsoft’s Antimalware API License and Listing Agreement must join the MVI program to operate effectively on Windows OS. The MVI program is ostensibly designed to align third-party security solutions with Microsoft’s technology and strategy.
However, membership is conditional upon fulfilling several requirements, including signing a non- disclosure agreement (NDA), entering into the Antimalware API License and Listing Agreement, and submitting their software for periodic testing and performance review by Microsoft. The program requires developers to disclose substantial commercial and proprietary technological information, which is then allegedly exploited by Microsoft under the guise of ensuring security and compatibility.
While MVI members gain certain advantages not available to non-members, they also relinquish significant control and competitive information, leaving them vulnerable to Microsoft’s commercial strategies.
The informant has alleged that Microsoft is abusing its dominant position.
The CCI did not find alleged contravention of the provisions of Section 4 of the Act against Microsoft being made out. In view of the foregoing, the Commission is of the opinion that there exists no prima facie case of contravention and the information filed is directed to be closed under Section 26(2) of the Act.
Case Details
Case Title: XYZ Versus Microsoft Corporation Versus
Case No.: 03 of 2024
Date: 03/03/2025
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