EU antitrust regulators have concluded that Microsoft’s $13-billion investment into OpenAI is not an acquisition, sources familiar with the matter said on Wednesday, signaling the deal will avoid a formal European probe that could have led to onerous remedies for the U.S. tech giant., OpenAI and a spokesperson of the European Commission did not immediately respond to Reuters requests for comment.
EU regulators had said in January that the deal may be subject to merger rules in the region. Microsoft, which has a non-voting position on OpenAI board, said late last year it did not own any portion of the ChatGPT maker. But Microsoft is not out of the woods yet, with the EU competition enforcer still looking into partnerships between large digital market players and generative AI developers and providers that could lead to intrusive and lengthy investigations in their market power.UK’s Competition and Markets Authority is reviewing whether to launch a probe to see if the deal affects competition among British firms, while the U.S.
To avoid such probes, Microsoft is actively scouting partnerships with other AI firms. Earlier this year, it announced a pact with French startup Mistral AI.Tickers mentioned in this story Study and track financial data on any traded entity: click to open the full quote page. Data updated as of