European Union antitrust regulators plan to look into exclusivity clauses in a partnership between Microsoft and OpenAI, which could trigger a formal investigation. At the same time, Google’s artificial intelligence deal with Samsung is also under regulatory scrutiny.
EU competition chief Margrethe Vestager announced on Friday that she would seek further third-party opinions as part of the investigation. “We have considered the responses and are now requesting further information on the Microsoft Open AI agreement to understand whether certain exclusivity clauses may have a negative impact on competitors,” Vestager said at the conference.
The increased regulatory attention underscores global concerns about big tech companies leveraging their market power in emerging technologies, as well as their influence in other sectors.
Vestager sent out surveys to several major tech companies in early March, including Microsoft, Google, Meta Inc’s (META.O) Facebook and ByteDance’s TikTok, to gather information about AI partnerships.
According to a Reuters report, the European Commission’s preliminary findings could pave the way for an investigation into Microsoft’s collaboration with OpenAI. A Microsoft spokesperson said the company “stands ready to answer any further questions from the European Commission.”
Vestager clarified that the Microsoft-OpenAI partnership is not subject to EU merger rules due to the lack of administrative powers, but highlighted Microsoft’s significant investment: The tech giant pumped $13 billion into OpenAI’s commercial subsidiary, securing a 49% stake.
The development marks a pivotal moment for antitrust enforcement in the tech sector, as regulators seek to stop incumbents from stifling competition in the rapidly evolving field of artificial intelligence.
Source: Reuters
