The UK’s competition organizer says that the Openai’s partnership from Microsoft does not qualify for investigation

Britain’s competition organizer, CMA, said on Wednesday that Microsoft’s partnership with Openai does not qualify to conduct an investigation under the provisions of integration into the UK’s institution law in the UK, the Anti -Competition Practices Law in the country.

“In general, taking into account all available evidence (…) does not think that Microsoft is currently controlling Openai’s commercial policy, and instead it exercises a high level of material impact on this policy,” CMA wrote in its decision. “In other words, there is no change in control that leads to a relevant integration mode.”

CMA began to investigate the Microsoft Partnership with Openai in December 2023. The technology giant is one of the major investors in the artificial intelligence company, with an investment of approximately $ 14 billion since 2019. Microsoft also fills many Openai technologies in managed offers called Azure Openai Service, and works closely with developing to develop on the development of Products like Copilot Copilot.

CMA was initially concerned that Microsoft had obtained control of Openai’s commercial policy in 2019, and that this censorship increased after Microsoft’s role in securing “Openai CEO of Openai in November 2023.

(A) The increase in Microsoft’s control over Openai may lead to possible competition concerns if Microsoft can restrict the access of competitors to the leading models in Openai in the markets where access to (AI) is likely to be important and since Microsoft has already occupied strong market sites, “the agency wrote in a file. “CMA was also concerned that the partnership could affect competition in the emerging market to supply the accelerated account, given the capabilities of Openai to work as an important customer in this market.”

But as CMA noted in its decision on Wednesday, it is likely that the recent developments have weakened – not enhancement – the Microsoft effect on Openai.

In January, Microsoft said it re -negotiated from the cloud computing agreement with Openai, where it moves to a model where the technology giant has the “first rejection” of some Openai’s work burdens. Microsoft also granted exemptions to allow Openai to build an additional computing capacity, including a $ 500 billion US data center deal with the Softbank investor. Previously, Microsoft was the exclusive cloud provider of Openai.

Last year, Microsoft also brought down plans to take the seat of the Board of Directors in Openai, which may have called for the additional organizational audit.

The Ministry of Resolution wrote in its decision: “The material aspects of the (Microsoft) partnership has changed throughout the investigation.” “Moreover, there is no” bright line “among the factors that may affect the material effect and those that lead to actual control.

CMA has been strongly investigated in the technology industry investments in emerging companies from artificial intelligence and AI in an attempt to prevent unification of power in the emerging sector. However, while the agency previously described major technical partnerships with artificial intelligence -emerging companies as a “interconnected network”, it did not find evidence of violations. In November, CMA has cleared Google Pater Compane Alphabet with an anthropor competition.