Microsoft's President and Vice Chair, Brad Smith, responded to the probe by emphasizing the difference between their partnership with OpenAI and Google's acquisition of DeepMind in 2014. The CMA's investigation is focused on determining the dynamics of the Microsoft-OpenAI relationship, as Microsoft's substantial investment gives it nearly 49% ownership of OpenAI. The investigation could potentially reshape the oversight of AI partnerships, with the goal of ensuring that such influential partnerships do not stifle market competition.
Key takeaways:
- The UK's Competition and Markets Authority (CMA) is investigating Microsoft's $10 billion investment in OpenAI over potential antitrust concerns.
- The CMA's probe will examine the governance shifts within OpenAI, particularly after a recent management upheaval involving co-founder Sam Altman, to see if the Microsoft-OpenAI partnership has essentially resulted in an acquisition of control.
- Microsoft's President and Vice Chair, Brad Smith, responded to the CMA's probe by emphasizing the divergence between their partnership and Google's acquisition of DeepMind in 2014.
- The CMA's investigation could potentially reshape the oversight of AI partnerships, with the goal of ensuring that such influential partnerships do not stifle market competition.