Microsoft has announced the disabling of a set of cloud and AI services used by a unit within the Israel Ministry of Defense (IMOD) following preliminary evidence supporting reports of a surveillance system in Gaza and the West Bank. This decision was prompted by an August article in the Guardian alleging activity by a unit of the Israel Defense Forces utilizing Microsoft’s Azure for collecting and storing data on phone calls made by civilians in the region. While the internal review is ongoing, Microsoft has found evidence corroborating elements of the Guardian’s reporting, leading to the company’s decision to cease and disable specified IMOD subscriptions and services related to cloud storage and AI technologies.

Brad Smith, Microsoft’s president, emphasized that the company does not provide technology to facilitate mass surveillance of civilians. The action taken does not affect Microsoft’s cybersecurity services to Israel and neighboring countries in the Middle East. In a related development, Microsoft terminated four employees who participated in protests on company premises regarding ties to Israel during the conflict in Gaza, citing breaches of company policies and safety concerns arising from on-site demonstrations.