FTC Launches Antitrust Investigation into Microsoft's AI Acquisition

The Federal Trade Commission is examining whether Microsoft structured one of its most recent transactions with an artificial intelligence firm to avoid a regulatory antitrust probe.

In March, Microsoft acquired Inflection AI's co-founder and nearly all of its workers and agreed to pay the business around $650

Inflection's investors were assured that the revenues from sales would be used to repay them over time.

Companies must report purchases valued at more than $119 million to federal antitrust enforcement authorities, who have the authority to assess the deal's impact on competition.

Suppose an inquiry reveals that a merger or other investment will significantly diminish competition or result in a monopoly.