Key points:
- EU regulators investigate Microsoft’s $13 billion OpenAI investment
- Concerns raised over exclusivity of Microsoft’s cloud for OpenAI
The European Union’s antitrust regulators are currently scrutinizing Microsoft’s $13 billion investment in OpenAI. The primary concern is the exclusivity of Microsoft’s cloud technology for OpenAI’s use, which could potentially have negative effects on competition.
The EU’s antitrust chief, Margrethe Vestager, is in the process of gathering more information from Microsoft’s competitors and customers. The focus of this information gathering is on the exclusivity clauses in the agreement between Microsoft and OpenAI.
The partnership between Microsoft and OpenAI has resulted in a significant increase in demand for cloud services. OpenAI has become a major customer of Microsoft’s cloud business as a result of this partnership.
The European Union will continue to monitor the agreement between Microsoft and OpenAI. The aim is to determine if any exclusivity clauses could negatively impact competitors.
Executive Vice-President Margrethe Vestager has stated that they will maintain oversight of the relationships between all the key players in this fast-moving sector.