Microsoft Cuts Off Israeli Military’s AI and Cloud Tools Over Mass Surveillance of Palestinians

Microsoft Cuts Off Israeli Military’s AI and Cloud Tools Over Mass Surveillance of Palestinians

Microsoft has blocked the Israeli military's access to certain cloud and artificial intelligence (AI) services after investigative reports revealed these technologies were used for mass surveillance of Palestinians. The decision affects Unit 8200, an elite Israeli military intelligence division, which was using Microsoft's Azure cloud platform to store and process vast amounts of intercepted communications, including millions of phone calls from Gaza and the West Bank. Microsoft’s internal review confirmed violations of its terms of service, resulting in the discontinuation of specific cloud storage and AI services for the unit. This marks a significant step by a major U.S. tech company to limit military use of its platforms over human rights concerns amid ongoing conflict in the region.



Background and Investigation

The move came after a joint investigation by The Guardian, +972 Magazine, and Local Call disclosed how Unit 8200 had been utilizing Microsoft’s cloud services for a mass surveillance program. The program reportedly intercepted and stored around 8,000 terabytes of Palestinian communication data, processing data at the rate of a million calls per hour. This extensive surveillance capability was reportedly used to inform military operations, including airstrikes in Gaza and the West Bank. The investigation also revealed that Microsoft and the Israeli military had collaborated on transferring this sensitive intelligence to Azure, beginning after a meeting in 2021 between Microsoft CEO Satya Nadella and the commander of Unit 8200.


Microsoft's Response and Actions

Following the exposé, Microsoft launched an internal investigation led by its vice-chair and president, Brad Smith. The findings supported key elements of the reports, prompting Microsoft to notify the Israeli Ministry of Defense that it would disable a set of services linked to Unit 8200’s surveillance activities. Microsoft emphasized a longstanding company policy against providing technology for mass surveillance of civilians globally. While certain services were cut, Microsoft clarified that broader cybersecurity partnerships with Israel and other Middle Eastern nations remained unaffected.


Impact and Broader Implications

This is the first known instance of a major U.S. technology company restricting its services to the Israeli military since the war on Gaza began. The Israeli military reportedly anticipated the move by backing up sensitive data previously stored on Microsoft’s platforms. Following Microsoft’s actions, parts of the surveillance operations were reportedly shifted to other providers such as Amazon Web Services. The decision has ignited broader debate on how tech companies enforce ethical standards in politically sensitive environments and their role in enabling state surveillance.


Conclusion

Microsoft’s suspension of cloud and AI services to Israel’s Unit 8200 marks a critical precedent in corporate accountability amid geopolitical conflicts and human rights concerns. It highlights the complex challenges tech giants face in balancing business interests, ethical principles, and political pressures in conflict zones, underscoring the need for transparent policies restricting the misuse of advanced technology for mass surveillance.

This blog has summarized Microsoft's recent suspension of services to the Israeli military over alleged mass surveillance of Palestinians, reflecting intensifying scrutiny of Big Tech's involvement in conflict-related surveillance activities 

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