EU executive arm drops merger review into US tech companies’ alliance
Brussels is preparing for an antitrust investigation into Microsoft’s $13bn investment into OpenAI, after the EU decided not to proceed with a merger review into the most powerful alliance in the artificial intelligence industry. The European Commission, the EU’s executive arm, began to explore a review under merger control rules in January, but on Friday announced that it would not proceed due to a lack of evidence that Microsoft controls OpenAI.
He briefly joined Microsoft as the head of a new AI research unit, highlighting the close relationship between the two companies. Regulators in the US and UK are also scrutinising the alliance. Microsoft is the biggest backer of OpenAI, although its investment of up to $13bn, which was expanded in January 2023, does not involve acquiring conventional equity due to the start-up’s unusual corporate structure.
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