
Reed’s view
When Microsoft announced it was cutting off the Israeli Defense Forces from some access to its cloud services this week, it was trying to walk a political tightrope. But the move satisfies nobody and could haunt the company in the future.
This all started because The Guardian published an article alleging that the IDF was using Azure to store millions of phone records of Palestinians. When Microsoft looked into the matter, it found evidence that confirmed the report, company President Brad Smith said.
With pressure from employee protesters, the company decided to end some access to the platform.
Microsoft’s carefully worded statement announcing the move doesn’t directly criticize Israel, but affirms the tech giant’s moral position that its services can’t be used for mass surveillance of civilians. It’s the kind of statement meant to result in minimal damage but instead opens companies up to criticism from every direction.
Anthropic ran into a similar problem recently because of its strict prohibition on surveillance, which Semafor reported irked White House officials.
The irony: Microsoft’s decision may not have been the direct result of employee activism — but it will likely lead to more of it.
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Room for Disagreement
The decision was welcomed by some advocacy groups, who are now pushing other big tech companies to evaluate the IDF’s use of their services. “Companies, including other major providers of cloud services, must also suspend all sales and deliveries into Israel of weapons and other military, security and surveillance equipment” contributing to “Israel’s international crimes against Palestinians,” human rights group Amnesty International said in a blog post. “The tide must turn towards accountability.”

Notable
- Microsoft’s relationship with the IDF spans decades and has intensified after Hamas’ Oct. 7, 2023 attack, an Associated Press investigation found.
- Tech analysts interviewed by Al Jazeera expressed skepticism about how impactful Microsoft’s pullback will be on Israel’s surveillance operations, adding that the company hasn’t clarified how exactly it will make sure the IDF doesn’t have access to its services.
- Many US tech firms have been hesitant to stop doing business with the IDF, Semafor’s J.D. Capelouto noted, even as Israel grows more isolated elsewhere. Norway’s sovereign wealth fund recently dropped several Israeli investments.