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EU to Investigate Tech Giants' Deals with AI Makers, Eyes Microsoft-OpenAI Partnership

Jan 09, 2024 - techtimes.com
The European Union has initiated an investigation into the partnership between Microsoft and OpenAI, as well as other agreements between tech giants and AI developers. The probe, led by the European Commission, will assess the impact of these partnerships on the competitive landscape of emerging industries like virtual worlds and generative AI. The Microsoft-OpenAI alliance, which has seen Microsoft invest a total of $13 billion into OpenAI, has raised concerns about Microsoft's potential influence over OpenAI's operations.

The investigation is part of a broader effort by the EU to ensure competitiveness and innovation in nascent, disruptive markets. The Commission is inviting contributions from stakeholders to gain insights into the level of competition in these industries and suggestions on how competition law can be used to maintain competitiveness. The probe is not limited to Microsoft and OpenAI but includes agreements between other major digital players and AI developers.

Key takeaways:

  • The European Union has launched an investigation into the partnership between Microsoft and OpenAI, focusing on the impact of this alliance on the competitive landscape of emerging industries like virtual worlds and generative AI.
  • Microsoft's investment in OpenAI, which totals $13 billion, has raised concerns about the tech giant having too much influence over OpenAI's operations.
  • The EU's investigation is part of a broader initiative to ensure that emerging markets remain competitive and open for innovation, and it extends to agreements between major digital players and AI developers.
  • OpenAI, the company behind ChatGPT and the rumored GPT-4, has experienced internal changes, but the EU's investigation is not limited to these companies and aims to navigate the challenges posed by disruptive technologies.
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