Sept 4 (Reuters) - Britain's competition regulator, on
Wednesday, cleared Microsoft's ( MSFT ) hiring of some former
staff of Inflection AI and its partnership with the startup and
said the deal did not required a deeper investigation.
The Competition and Markets Authority began a probe in July
to examine if the deal might lead to competition concerns in the
country since both companies develop and supply consumer
chatbots.
The CMA said that even before being bought, Inflection had a
small portion of UK visits for chatbots and AI tools and, unlike
its rivals, couldn't significantly grow or maintain its chatbot
users.
In March, Microsoft ( MSFT ) hired Mustafa Suleyman, co-founder of
Google DeepMind, as head of its newly-created AI unit.
It also hired a number of employees from Inflection, which he
set up in 2022.
Reuters reported that Microsoft ( MSFT ) had agreed to pay about $650
million as part of the deal, which gave it access to
Inflection's AI models and enabled the startup to reimburse its
investors, who include former Bill Gates and Google CEO Eric
Schmidt.