FTC probes Big Tech ties with AI

January 25, 2024

FTC probes relationships between AI firms, tech giants

The Federal Trade Commission (FTC) is launching an inquiry into several multibillion-dollar investments by major technology companies into generative artificial intelligence (AI), the agency announced Thursday.

The FTC said it is seeking information about the partnerships between Microsoft and OpenAI, Amazon and Anthropic, and Google and Anthropic.

All five companies were issued orders requesting more information about their investments and partnerships, the agency said.

“History shows that new technologies can create new markets and healthy competition,” FTC Chair Lina Khan said in a statement.

“As companies race to develop and monetize AI, we must guard against tactics that foreclose this opportunity.”

Microsoft’s close partnership with OpenAI has drawn increased scrutiny in the wake of the high-profile ouster and return of OpenAI CEO Sam Altman late last year.

After the AI firm’s board of directors fired Altman in November, Microsoft offered him a position leading a new AI research team.

However, after he was brought back just days later to lead OpenAI, the company announced Microsoft would now have a non-voting position on the board.

Read more in a full report at TheHill.com.

Welcome to The Hill’s Technology newsletter, we’re Rebecca Klar and Julia Shapero — tracking the latest moves from Capitol Hill to Silicon Valley.

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