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World – Microsoft has ceased and disabled a set of services to a unit within the Israeli Ministry of Defence (IMOD) after reviewing allegations that its cloud and AI technology was being used for surveillance of Palestinian civilians in Gaza and the West Bank.
The decision followed a Guardian investigation published on 6 August, which reported that the Israeli military was using Microsoft’s Azure platform to store recordings of Palestinians’ phone calls. The report sparked widespread concern over corporate complicity in human rights violations.
Microsoft responded on 15 August by announcing a formal investigation into the allegations. The company stressed that the process was guided by two longstanding principles: avoiding the use of its technology for civilian mass surveillance and ensuring the protection of customer privacy.
In a statement on the company’s blog, Microsoft President Brad Smith explained that the review centred on business records rather than customer content.
“We have reviewed The Guardian’s allegations based on two principles, both grounded in Microsoft’s longstanding protection of privacy as a fundamental right. First, we do not provide technology to facilitate mass surveillance of civilians. Second, we respect and protect the privacy rights of our customers,” he said.
The review focused on Microsoft’s own records, including contracts, financial statements, and internal communications.
Officials stated that this approach ensured privacy commitments were upheld while allowing the company to conduct responsible investigations. Smith acknowledged that the investigation had already identified troubling findings.
“While our review is ongoing, we have found evidence that supports elements of The Guardian’s reporting. This evidence includes information relating to IMOD consumption of Azure storage capacity in the Netherlands and the use of AI services,” he noted.
The findings prompted Microsoft to take direct action against the affected subscriptions. IMOD was formally notified that access to specified Azure storage and AI technologies would be terminated, with the decision reviewed in accordance with Microsoft’s standard terms of service.
The company also highlighted the role of independent journalism in raising concerns. It said external reporting provided valuable insights unavailable to Microsoft due to its strict customer privacy safeguards.
“We want to note our appreciation for the reporting of The Guardian. Its reports were based in part on sources outside Microsoft that had information we could not access in light of our customer privacy commitments,” Smith added.
Pro-Palestinian Groups Welcome Move
Civil rights advocates described Microsoft’s decision as overdue but meaningful. The Council on American-Islamic Relations (CAIR), the largest Muslim civil rights organisation in the US, stated that it reflects growing pressure on tech companies to ensure the ethical use of their products.
CAIR-WA Executive Director Imraan Siddiqi said the move validated the efforts of employees who raised concerns internally. He explained that campaigners had long warned about the misuse of technology.
“This is a welcome step and a point of vindication for those brave tech workers who stood up and protested. However, Microsoft and all tech companies must completely divest from their activities supporting the ongoing genocide of Palestinians and ensure that their employees who speak up against human rights abuses are protected.”
CAIR’s national leadership echoed the call for stronger measures. Leaders argued that limited restrictions on services were insufficient in the face of ongoing Israeli violence in Gaza and the West Bank.
Edward Ahmed Mitchell, CAIR’s Deputy Executive Director, said, “No American corporation should be providing resources to a genocidal government, let alone resources that directly aid in their criminal endeavours. We welcome this decision by Microsoft and urge them and all-American companies to fully cut ties with the genocidal Israeli government.”
Community advocates also emphasised that employees who spoke up faced backlash. They pointed to instances of dismissals and resignations, arguing that corporate responsibility must extend to protecting those who challenge unethical practices.
Sabrene Odeh, CAIR-WA Community Legal Advocate, stressed that the decision did not go far enough.
“Though a step in the right direction, this is not enough to end Microsoft’s complicity in the genocide perpetrated by Israel. Tech workers, across the board, have been sounding the alarm for two years with serious concerns over how technology is being used against civilians.”
