Microsoft ousts Israeli subsidiary chief amid surveillance and human rights probe
Microsoft has removed the head of its Israeli subsidiary after an internal investigation into the company’s ties with Israeli intelligence. The probe centred on concerns that Azure Cloud storage was being used for surveillance in Gaza and the West Bank. Shareholders and employees had previously called for greater scrutiny of the company’s contracts with the Israeli government. The investigation began after reports suggested Microsoft’s Israeli branch was exposing the company to legal risks in Europe. Employees and shareholders raised concerns about human rights due diligence, particularly since the escalation of violence in Gaza in 2023. Some workers were fired following protests against Microsoft’s contracts with Israeli military and government agencies.
The company’s business dealings with Israel have faced growing criticism. Microsoft and Xbox remain on the Boycott, Divestment, and Sanctions (BDS) list over multiple contracts supporting Israeli state operations. Developers at Arkane Lyon, the studio behind Dishonored, also demanded Microsoft cut ties with the Israeli government.
As a result of the investigation, Alon Haimovich was removed as general manager of Microsoft Israel. The subsidiary is now under temporary oversight by Microsoft France while the company searches for a replacement. The focus of the probe included claims that Azure Cloud services were storing intercepted data from the occupied West Bank. Microsoft’s decision to replace its Israeli leadership follows months of internal and external pressure. The company now faces ongoing scrutiny over its role in surveillance operations linked to the occupied territories. The investigation’s findings have yet to be made public, but the move signals a shift in how Microsoft manages its Israeli operations.
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