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The United Kingdom\u2019s antitrust regulator is considering initiating a merger investigation into Microsoft\u2019s multibillion-dollar collaboration with OpenAI.<\/p>\n
This announcement resulted in a response from Microsoft, declaring that it only plays a non-voting observer role on the board of the ChatGPT maker.<\/p>\n
The investigation announcement follows the ChatGPT maker\u2019s disclosure that the United States tech giant would hold a non-voting board seat. The examination will assess whether the collaboration constitutes an \u201cacquisition of control,\u201d implying the substantial influence of one party over another, as stated by the Competition and Markets Authority (CMA) on Friday, Dec. 8.<\/p>\n
The observer position means Microsoft\u2019s representative can attend OpenAI\u2019s board meetings and access confidential information, but it does not have voting rights on matters, including electing or choosing directors.<\/p>\n
\u201cIn light of these developments, the CMA is now issuing an ITC to determine whether the Microsoft\/OpenAI partnership, including recent developments, has resulted in a relevant merger situation and, if so, the potential impact on competition.\u201d<\/p><\/blockquote>\n
The move comes after a November announcement that Microsoft will\u00a0take a non-voting position on OpenAI\u2019s board. It is the second time the regulator has looked at the U.S. software company\u2019s operations this year, and it also said it was considering if the deal had resulted in a relevant merger situation.<\/p>\n
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