UK Competition Watchdog Probes Microsoft and Amazon AI Ventures

The Competition and Markets Authority is investigating whether partnerships with AI startups like Anthropic and Mistral AI comply with merger rules and affect market competition.

The CMA's investigation focuses on Microsoft and Amazon's strategic AI partnerships and acquisitions, including hiring practices that may influence competition.
Microsoft's collaborations with OpenAI and Mistral AI, as well as its acquisition of Inflection AI's team, are under scrutiny.
Amazon's $4 billion investment in Anthropic, which includes non-exclusive cloud hosting agreements, is also being examined.
The CMA is accepting comments until May 9, with a potential for a formal review process that could last up to 40 working days.
The investigation reflects broader global concerns about the impact of big tech investments in AI on market competition.