Microsoft Corporation (NASDAQ: MSFT) may have pulled a fast one on salesforce.com, inc. (NYSE: CRM). According to Global Equities Research analyst Trip Chowdhry, Microsoft was never genuinely interested in a salesforce buyout, and now salesforce is in a tough position.

Chowdhry believes things started downhill for salesforce back in early 2015 when rumors started circulating of a Microsoft buyout and salesforce’s stock jumped from the $50s to the $70s.

Then, in February of 2016, salesforce announced that it would be raising prices starting in Q3 of 2016.

“Sales activity picked up at Salesforce.com, as sales people started telling customers buy now before the prices go up in July-August 2016,” Chowdhry explained.

He believes this strategy was a “classic case” of pulling demand forward, and it was a strategy based on a false premise.

“CRM foolishly continued to believe that MSFT is genuinely interested in CRM, and hence CRM used short-term sales tactics of pulling the demand forward to create an impression of strength in CRM’s business,” Chowdhry noted.

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He believes this tactic was employed simply to boost a potential Microsoft buyout offer.

Following Microsoft’s acquisition of LinkedIn Corp (NYSE: LNKD), Chowdhry believes there is no chance Microsoft will make a bid for salesforce.

Instead, Chowdhry is calling for a slowdown in salesforce’s growth. He believes the company will find it difficult to maintain market share against low-cost competitors and compete on the high end with the likes of Oracle Corporation (NYSE: ORCL).

Chowdhry concluded that investors should now avoid salesforce stock.

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