Overview

• EU regulators are investigating Microsoft's relationship with OpenAI, fearing that the tech giant may be covertly controlling the AI company.
• The European Commission (EC) is examining whether Microsoft's investment in OpenAI, reported to be between $10 billion and $13 billion, violates merger regulations aimed at protecting competition.
• Microsoft's OpenAI investments have already been the subject of another EC probe into the Windows maker, and the company also faces an antitrust allegation from a rival tech company in Europe.
• Microsoft has denied having control over OpenAI, stating that their partnership has fostered more AI innovation and competition, while preserving independence for both companies.
• Regulators are particularly interested in the potential competition issues stemming from tech companies partnering to develop generative AI and virtual world/metaverse systems.