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Microsoft cuts cloud services to Israeli military unit over Palestinian surveillance

By Advanced AI EditorSeptember 25, 2025No Comments2 Mins Read
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Microsoft has cut off the Israel Ministry of Defense’s access to some of its tech and services after an internal investigation found the organization appeared to be using its tech to store surveillance data on phone calls made by Palestinians.  

The tech giant announced on Thursday that it made the decision to “cease and disable” certain subscriptions from the Israeli military. This affects subscriptions to Azure cloud storage and certain AI services.  

“We do not provide technology to facilitate mass surveillance of civilians, Microsoft Vice Chair and President Brad Smith wrote in a blog post. “We have applied this principle in every country around the world, and we have insisted on it repeatedly for more than two decades. This is why we explained publicly on August 15 that Microsoft’s standard terms of service prohibit the use of our technology for mass surveillance of civilians.”

Microsoft informed Israel of its decision last week, according to The Guardian.  

The decision follows Microsoft’s ongoing review of the matter, which started in August. The investigation was sparked by a story in The Guardian that reported that Unit 8200, the elite Israel military intelligence unit, was using Azure cloud storage to house data on phone calls obtained through the surveillance of Palestinians in Gaza and the West Bank.  

In his blog post, Smith also said the company appreciated The Guardian’s initial reporting. Smith wrote that without it, they wouldn’t have known to look into the matter, as due to customer privacy rights, they can’t access a customer’s content. 

“As employees, we all have a shared interest in privacy protection, given the business value it creates by ensuring our customers can rely on our services with rock solid trust,” Smith wrote.  

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The company said the review is ongoing but declined to comment to TechCrunch regarding what was still under review.  

Microsoft has been under fire from both employees and outsiders for its involvement with Israel over the past year. Protests regarding Microsoft’s relationship with Israel broke out at the company’s 50th anniversary celebration in April. In August, several employees staged a sit-in at Smith’s office, forcing a lockdown.  

The company has fired multiple employees in recent months for their activism related to Microsoft’s contracts with Israel.   



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