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U.S. Clears Way for Antitrust Inquiries of Nvidia, Microsoft and OpenAI

Jun 06, 2024 - news.bensbites.com
The Justice Department and the Federal Trade Commission (FTC) have agreed to divide responsibility for investigating three major artificial intelligence (AI) industry players: Microsoft, OpenAI, and Nvidia. The FTC will primarily examine Microsoft’s and OpenAI’s conduct, while the Justice Department will investigate Nvidia's behavior. This agreement indicates increasing regulatory scrutiny into AI technology and its potential impacts.

Federal regulators have reached a deal to proceed with antitrust investigations into these companies' dominant roles in the AI industry. This follows a similar deal in 2019 when the government investigated Google, Apple, Amazon, and Meta for alleged violations of antimonopoly laws. The FTC has also recently opened investigations into OpenAI's data collection practices and strategic partnerships between tech giants and AI startups.

Key takeaways:

  • The Justice Department and the Federal Trade Commission have agreed to divide responsibility for investigating Microsoft, OpenAI, and Nvidia's roles in the artificial intelligence industry.
  • The Justice Department will primarily investigate Nvidia, while the Federal Trade Commission will focus on Microsoft and OpenAI.
  • This agreement marks an increase in regulatory scrutiny into the artificial intelligence industry, a rapidly advancing technology with the potential to significantly impact jobs, information, and people's lives.
  • Previous investigations have been launched into OpenAI's data collection practices and strategic partnerships between tech giants and A.I. start-ups, including Microsoft's investment in OpenAI and Google's and Amazon's investments in Anthropic.
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