Microsoft and Google, tech giants that compete in cloud computing, web search and artificial intelligence, five years ago formally agreed to cease using their substantial lobbying firepower against each other, seeking to eliminate a pricey and distracting battle and clear the way to collaborate more. That truce, forged at the time by two new CEOs wanting a fresh start on a formerly acrimonious relationship, expired in April.
Even before the deal was allowed to lapse, the non-aggression pact had been fraying. The companies feuded publicly over a proposal to force Google to pay news publishers for content and squabbled more quietly over technology for selling search ads. Neither company is eager to extend or renew the alliance, according to people familiar with each companies’ thinking, who weren’t authorised to discuss confidential relationships.