Microsoft ditches OpenAI observer seat


Power concerns: The Microsoft headquarters in Redmond, Washington. The company’s observer seat and more than US$10bil investment in OpenAI have triggered unease among antitrust watchdogs over how much control it exerts over OpenAI. — AFP

BRUSSELS: Microsoft has given up its board observer seat at OpenAI in a move aimed at easing US and UK antitrust regulators’ concerns about the extent of its control over the artificial intelligence (AI) startup amid the soaring popularity of generative AI.

But the change was unlikely to resolve concerns by the US Federal Trade Commission (FTC), a source at the agency said.

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