The UK Competition and Markets Authority (CMA) is preparing to investigate the effects on competition of Microsoft’s billion-dollar deal with artificial intelligence giant OpenAI. The CMA’s investigation will focus on whether the collaboration between Microsoft and OpenAI negatively affects competition in the sector.
The investigation will be conducted publicly, and stakeholders will submit their opinions until January 3, 2024.
Second Review from the CMA
This year, Microsoft added Activision Blizzard to its portfolio with a deal in the video game sector. Following this, Microsoft was once again scrutinized by the CMA for concerns about increasing its control in the cloud gaming market. After addressing the CMA’s objections, Microsoft purchased Activision Blizzard, the producer of the “Call of Duty” game, for $69 billion.
The CMA will now examine Microsoft’s partnership with OpenAI and decide whether to initiate any formal investigation.