Regulators set the stage for AI antitrust battles

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The FTC and DOJ reached a deal that could increase antitrust scrutiny of artificial intelligence companies, including Microsoft, Nvidia and OpenAI.

Nvidia CEO and President Jensen Huang heads to a closed-door meeting with fellow business leaders and congressional members on Capitol Hill in September 2023. into Microsoft, OpenAI and Nvidia, setting up unprecedented regulatory scrutiny of the companies’ conduct in the AI race, according to a person familiar with the matter, who spoke on the condition of anonymity to discuss a probe whose details are not public.

The deal — which is expected to be completed in the coming days — ends a long-running stalemate between the agencies over how they should divide up oversight of artificial intelligence companies, a debate that has limited the federal government’s ability to respond to the fast-changing corporate landscape.Under the deal, the DOJ will investigate the conduct of Nvidia, which has wielded its advantages in making AI chips to become thein the United States.

The FTC also opened an investigation into whether Microsoft designed its $650 million deal with the AI company Inflection to skirt government antitrust reviews, the person said.As part of the deal, Inflection AI CEO Mustafa Suleyman and many other employees joined the Redmond, Wash., tech company.

 

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