Regulatory body investigates AI partnerships Microsoft and Amazon in the UK
Image Credits: Curto News/Bing AI

Regulatory body investigates AI partnerships Microsoft and Amazon in the UK

The UK competition watchdog, the Competition and Markets Authority (CMA), announced on Wednesday (24) that is investigating the partnerships of artificial intelligence (IA) between:

ADVERTISING

  • Microsoft and the French startup Mistral AI and
  • Amazon and the American company Anthropic.

In addition, the CMA also wants to hear testimonies from third parties about the hiring by Microsoft from former employees of Inflection AI, another AI startup, and related agreements.

It is worth remembering that, last month, the Microsoft appointed Mustafa Suleyman, co-founder of DeepMind (the AI ​​research laboratory of the Google), as head of a new consumer-facing AI unit. In addition Microsoft hired several employees from Suleyman's startup, Inflection AI.

The CMA clarified that it has not yet reached any conclusion on whether the deals breach UK merger rules or raise competition concerns.

ADVERTISING

A Microsoft, in turn, appeared confident. “Common business practices, such as hiring talent or partially investing in AI startups, promote competition and are not the same as a merger,” said a company spokesperson. “We will provide the CMA with the information it needs to complete its investigations quickly.”

Already Amazon argued that “it is unprecedented for the CMA to analyze a collaboration of this type”. “Unlike partnerships between other AI startups and large technology companies, our collaboration with Anthropic includes a limited investment, does not give Amazon a director or observer on the board, and allows Anthropic to continue running its models across multiple cloud providers ,” said an Amazon spokesperson.

It is worth noting that the CMA was already investigating the partnership between Microsoft to OpenAI and requested statements in December last year. “The CMA is also considering feedback received earlier this year about the CMA partnership. Microsoft to OpenAI and is currently awaiting information requested from companies,” the regulator said on Wednesday.

ADVERTISING

The decision to examine partnerships Microsoft-Mistral AI and Amazon-Anthropic emerged after the CMA identified “an interconnected network” of more than 90 partnerships and strategic investments involving the same companies in a recent report on AI foundational models.

In January, the United States Federal Trade Commission (FTC) ordered the OpenAI, Microsoft, Alphabet, Amazon, and Anthropic provided information on recent investments and partnerships involving generative AI companies and cloud service providers.

The CMA is inviting testimony until May 9th. This is the first part of the information gathering process and occurs before a formal investigation begins.

ADVERTISING

Read also

* The text of this article was partially generated by artificial intelligence tools, state-of-the-art language models that assist in the preparation, review, translation and summarization of texts. Text entries were created by the Curto News and responses from AI tools were used to improve the final content.
It is important to highlight that AI tools are just tools, and the final responsibility for the published content lies with the Curto News. By using these tools responsibly and ethically, our objective is to expand communication possibilities and democratize access to quality information.
🤖

Looking for an Artificial Intelligence tool to make your life easier? In this guide, you browse a catalog of AI-powered robots and learn about their functionalities. Check out the evaluation that our team of journalists gave them!

Scroll up