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 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)

The lawsuit alleges that Microsoft imposed higher licensing costs on companies using cloud services of Amazon, Google and Alibaba.

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 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 facing a $1.27 billion lawsuit in the UK for allegedly overcharging customers using rival cloud services. The lawsuit claims Microsoft offers discounted pricing on Azure but penalizes firms using AWS,

Microsoft is accused of overcharging UK businesses using rival cloud platforms, such as Amazon Web Services, Google Cloud, and Alibaba Cloud, in a lawsuit seeking over $1 billion in damages. A competition lawyer alleges that Microsoft leverages its market dominance to enforce higher prices for Windows Server licensing on competing cloud platforms,