Microsoft’s $13 billion OpenAI pact faces additional EU scrutiny

Microsoft’s $13 billion investment in OpenAI is set to come under scrutiny from EU antitrust regulators, who are investigating the AI ​​company’s exclusive use of Microsoft’s Azure cloud services.

Media reports indicate that Margrethe Vestager, the head of the EU antitrust office, will probably decide not to launch an investigation into the merger, but will question Microsoft’s competitors and customers regarding exclusivity clauses.

These types of investigations may result in a formal investigation, which could result in orders to change practices or potential financial penalties if anti-competitive behavior is found.

The EU launched a review of the Microsoft-OpenAI partnership after problems arose during the firing and re-hiring of OpenAI CEO Sam Altman, with Microsoft CEO Satya Nadella playing a key role. The review is part of broader concerns about the balance of power in the partnership and the implications for competition in AI and cloud computing markets.

The EU review is complemented by similar investigations by the UK Competition and Markets Authority and the US Federal Trade Commission.

News.Az