Microsoft's $13 billion deal with OpenAI falls short of a takeover, EU competition regulator finds [Fortune]
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Source: Fortune
The European Commission has decided that the tie-up doesn't merit a formal probe because it falls short of a takeover and that Microsoft doesn't control the direction of OpenAI, according to people familiar with the matter. The EU's antitrust arm said in January it was reviewing whether Microsoft's involvement with OpenAI should be vetted after a mutiny at the ChatGPT creator exposed deep ties between the two firms. The shares in Microsoft were trading down 0.3% by 12:20 p.m. in New York. While most deals examined under the EU's merger regulation are eventually approved by Brussels watchdogs, officials are unafraid of wielding a veto if any competition concerns can't be fixed within strict deadlines. Microsoft declined to comment beyond pointing to an earlier statement that its OpenAI partnership has “ fostered more AI innovation and competition, while preserving independence for both companies.” A spokesperson from the commission said that to examine potential competition
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