EU considering merger probe into Microsoft and OpenAI

EU considering merger probe into Microsoft and OpenAI

The European Commission has said it is examining whether Microsoft’s investment in OpenAI is reviewable under EU merger rules as part of greater scrutiny of competition in the AI industry.

The Commission today launched two calls for contributions on competition in virtual worlds and generative AI and sent requests for information to several large digital players.

Stakeholders have been invited to “share their experience and provide feedback on the level of competition in the context of virtual worlds and generative AI, and their insights on how competition law can help ensure that these new markets remain competitive”.

The perspectives emerging from the contributions will be brought together and discussed at a workshop in the second quarter of the year.

The Commission also said it is looking into agreements concluded between large digital market players and generative AI developers and providers and their impact on market dynamics.

Margrethe Vestager, executive vice-president in charge of competition policy, said: “Virtual worlds and generative AI are rapidly developing. It is fundamental that these new markets stay competitive, and that nothing stands in the way of businesses growing and providing the best and most innovative products to consumers.

“We are inviting businesses and experts to tell us about any competition issues that they may perceive in these industries, whilst also closely monitoring AI partnerships to ensure they do not unduly distort market dynamics.”

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