# UK competition watchdog drops Microsoft-OpenAI probe

## Introduction

The UK competition watchdog has ended its investigation into the partnership between Microsoft and the maker of ChatGPT, OpenAI.

The Competition and Markets Authority (CMA) was looking into whether Microsoft's relationship with what is the world's best known artificial intelligence (AI) firm changed after the turmoil which saw its boss Sam Altman .

The CMA has concluded that, despite Microsoft investing billions of dollars into OpenAI and having exclusive uses of some of its AI products, the partnership remains the same, so is not subject to review under the UK's merger rules.

Digital rights campaigners, Foxglove, said it showed the CMA had been "defanged."

## Key Points

- The CMA's investigation concluded that the partnership remains the same and is not subject to review under the UK's merger rules.
- Critics say the decision is linked to the changed political environment, with the government instructing regulators to suggest ways of stimulating economic growth.
- The final decision is based on the fact that the partnership has not changed substantially, and the watchdog does not find it to be a significant threat to competition.
- The watchdog's decision is consistent with the government's instructions to the Competition and Markets Authority (CMA) to prioritize pro-growth and pro-investment interventions.

## Additional Reporting by Tom Singleton and Chris Vallance

Additional reporting by Tom Singleton and Chris Vallance.

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