The UK Competition and Markets Authority (CMA) has concluded its investigation into Microsoft's partnership with OpenAI, deciding not to move forward with a merger probe.
The decision comes after the CMA found that Microsoft does not hold enough control over OpenAI, a key factor in triggering a merger review. The companies' collaboration began in 2019, when Microsoft invested$1 billion in the AI startup.
Despite this, the CMA stated that Microsoft's influence had not evolved to the level of de facto control required for further scrutiny.
This marks the end of the UK's formal investigation into the deal, although the CMA clarified that its decision should not be interpreted as a dismissal of potential competition concerns related to the partnership.
While the investigation is closed, the CMA has been increasingly active in examining major tech company acquisitions, particularly those involving AI startups.
Microsoft welcomed the CMA's decision, asserting that their ongoing partnership with OpenAI fosters innovation and competition in AI development.
Meanwhile, the CMA continues to monitor the tech sector, with broader powers to investigate companies deemed to hold 'strategic market status'.