Google asks FTC to break up Microsoft's deal with OpenAI

Google asks FTC to break up Microsoft's deal with OpenAI

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Published 12:38 IST, December 11th 2024 Google has asked the US government to break up Microsoft's exclusive agreement to host OpenAI's technology on its cloud servers. Google vs Microsoft: Google has asked the US government to break up Microsoft's exclusive agreement to host OpenAI's technology on its cloud servers, the Information reported on Tuesday. The conversation happened after the U.

S. Federal Trade Commission asked Google about Microsoft's business practices as part of a broader investigation, the report said, citing a person directly involved in the discussion. Tech companies that compete with Microsoft in renting out cloud servers, such as Google and Amazon, also want to host OpenAI's models so that their cloud customers don't need to access Microsoft servers to get access to the startup's technology, the report said.



According to the report, companies that purchase ChatGPT-maker OpenAI's technology through Microsoft may have to face additional charges if they don't already use Microsoft servers to run their operations. Google and other competitors have highlighted that these new costs will harm customers, the report said. Google declined to comment on the Information report, while Microsoft, OpenAI and the FTC did not respond to Reuters' requests for comment.

It is worth noting that the development comes at a time when Sam Altman's OpenAI is reportedly in discussions to ditch a clause in its corporate structure that keeps Microsoft out of its most advanced machine learning models when it achieves 'Artificial General Intelligence' or AGI. According to a report by the Financial Times (via Reuters), OpenAI's existing terms, Microsoft's access to its most advanced models will be void when the company creates AGI, which it says is a 'highly autonomous system that outperforms humans at most economically valuable work'. The move will enable the AI Startup to continue receiving investment from Microsoft even after it achieves AGI.

The development also follows the launch of the $200 ChatGPT Pro subscription that offers access to OpenAI's most advanced AI models including the OpenAI o1, o1-Mini, GPT-4o and Advanced Voice to the Teams, Plus and Enterprise subscribers. Updated 12:38 IST, December 11th 2024.