Microsoft Steps Down from OpenAI Board to Ease Antitrust Concerns

Microsoft has given up its board observer seat at OpenAI to address U.S. and UK antitrust regulators' concerns. Despite the move, concerns persist, especially from the U.S. Federal Trade Commission, about the extent of Microsoft's control over OpenAI. Both companies aim to demonstrate independence from regulatory scrutiny.


Devdiscourse News Desk | Updated: 11-07-2024 03:05 IST | Created: 11-07-2024 03:05 IST
Microsoft Steps Down from OpenAI Board to Ease Antitrust Concerns
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In a strategic move to address antitrust concerns from U.S. and UK regulators, Microsoft has relinquished its observer role on OpenAI's board. This comes as the Federal Trade Commission continues its scrutiny of Big Tech and leading AI firms, signaling ongoing regulatory challenges for the tech giant.

A spokesperson for Microsoft was unavailable for immediate comment. Meanwhile, Apple has decided not to take up an observer role on OpenAI's board as previously anticipated. OpenAI plans to engage stakeholders through regular meetings with strategic partners like Microsoft and Apple, while foregoing board observer roles completely.

Microsoft's decision to relinquish the seat follows significant investment in OpenAI, which had triggered regulatory unease. Despite these developments, antitrust concerns remain among multiple watchdogs, particularly regarding Microsoft's influence over OpenAI.

(With inputs from agencies.)

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