Microsoft's concessions on OpenAI not enough
Microsoft, the software conglomerate, may have to make bigger concessions to antitrust regulators due to its partnership with OpenAI, according to a source at the US Federal Trade Commission (FTC).
Previously, Microsoft had announced that it would relinquish its non-voting membership position in OpenAI's governing body to allay concerns from regulators regarding its influence on specialists in Artificial Intelligence (AI).
Microsoft invested over ten billion dollars in OpenAI last year. However, the company claims it has not become a shareholder but only secured a profit-sharing agreement. This development has prompted antitrust authorities in the US and the UK to take notice. The European Competition Commission is also closely monitoring the situation.
Given Microsoft's significant investment in OpenAI and its ongoing role in the company, subsequent concessions from Microsoft to antitrust regulators, such as relinquishing its non-voting membership position and solely securing a profit-sharing agreement, may not be sufficient to avoid calls for Microsoft's withdrawal from OpenAI, as suggested by some critics within the antitrust community.
In light of Microsoft's investment in OpenAI and the resulting close collaboration, Microsoft's withdrawal from its partnership with OpenAI would likely require significant concessions to antitrust regulators, as the partnership has raised concerns about Microsoft's monopolistic influence in the field of Artificial Intelligence.
