Nvidia, Microsoft, OpenAI face potential US antitrust probes, as DOJ, FTC reach deal
- The DOJ will take the lead in investigating whether Nvidia violated antitrust laws, while the FTC will examine the conduct of OpenAI and Microsoft
The US Department of Justice (DOJ) and the Federal Trade Commission (FTC) have reached a deal that clears the way for potential antitrust investigations into the dominant roles that Microsoft, OpenAI and Nvidia play in the artificial intelligence (AI) industry, according to a source familiar with the matter.
US antitrust enforcers have publicly expressed a range of concerns around AI, from the advantage that Big Tech companies have in their access to data used to train AI models, to how generative AI affects the market for creative work, to partnerships between companies potentially being used to sidestep required merger review processes.
The move to divvy up the industry mirrors a similar agreement between the two agencies in 2019 to divide enforcement against Big Tech, which ultimately saw the FTC bring cases against Meta Platforms and Amazon.com, and the DOJ sue Apple and Google for alleged violations.
Those cases are ongoing and the companies have denied wrongdoing.
While OpenAI’s parent is a non-profit organisation, Microsoft has invested US$13 billion in a for-profit subsidiary, for what would be a 49 per cent stake.
