Microsoft has terminated the Israel Ministry of Defense’s access to some of its technology and services. This decision came after an internal investigation indicated the organization was using Microsoft technology to store surveillance data collected from phone calls made by Palestinians. The tech giant announced on Thursday that it chose to cease and disable certain subscriptions held by the Israeli military, specifically affecting access to Azure cloud storage and some artificial intelligence services.
Microsoft Vice Chair and President Brad Smith explained the company’s position in a blog post. He stated that Microsoft does not provide technology to enable the mass surveillance of civilians. This principle is applied globally and has been a standard part of the company’s terms of service for over twenty years. Smith referenced a public statement from August 15 that explicitly prohibits the use of Microsoft technology for mass surveillance.
According to reports, Microsoft informed Israel of this decision last week. The action follows an ongoing review that the company began in August. This review was initiated after a news story reported that Unit 8200, an elite Israeli military intelligence unit, was using Azure cloud storage to house data obtained from surveilling Palestinians in Gaza and the West Bank.
In his blog post, Smith acknowledged the importance of the initial news reporting on the matter. He noted that without it, Microsoft would not have known to investigate the situation due to customer privacy rights that prevent the company from accessing a customer’s content. Smith also emphasized the shared interest employees have in privacy protection, as it builds the trust that is fundamental to their services.
The company stated that its review is still ongoing but declined to comment on what aspects remain under examination. Microsoft has faced significant pressure over the past year regarding its involvement with Israel. Protests concerning the company’s relationship with Israel occurred at its 50th anniversary celebration in April. In August, several employees staged a sit-in at Brad Smith’s office, which forced a temporary lockdown of the headquarters. Microsoft has dismissed multiple employees in recent months for their activism related to the company’s contracts with Israel.

