UK watchdog drops competition review of Microsoft’s OpenAI deal

The UK's Competition and Markets Authority (CMA) has dropped its review of Microsoft's $13Bn investment in OpenAI, stating that the deal does not qualify for a formal investigation into whether the partnership was a merger between the two companies.

The regulator determined that there had not been any "change of control" that gave Microsoft "de facto control over OpenAI".

The regulator added that "recent developments in the partnership which reduce OpenAI's reliance on Microsoft for compute" "particularly" contributed to its decision.

Microsoft was a big initial backer of OpenAI, plowing billions of dollars into the San Francisco-based startup in its early days.

The CMA decision follows expressions of disquiet over the appointment of the former boss of Amazon UK, Doug Gurr, as the CMA's interim chair.

The organizations chief executive, Sarah Cardell, has also said the CMA does not want to create a chilling effect on business confidence, amid pressure from the UK government on regulators to produce a report on the partnership.

Reference Sources

1. ft - Microsoft’s $13bn OpenAI tie-up cleared by UK competition regulator
2. apnews - UK watchdog drops competition review of Microsoft’s OpenAI deal
3. theguardian - UK watchdog drops competition review of Microsofts OpenAI partnership
4. usnews - UK Watchdog Drops Competition Review of Microsoft's OpenAI Deal
5. cna - UK says Microsoft/OpenAI partnership does not need antitrust investigation

Donald Trump hands carmakers one-month reprieve from tariffs

(Source: Shutterstock)

President Donald Trump has granted carmakers a one-month reprieve on tariffs on imports from Mexico and Canada, according to the White House.

The exemption will apply to cars complying with the terms of the 2020 trade deal between the us, Mexico, and Canada.

White House press Secretary Karoline Leavitt said the us President had spoken with Stellantis, Ford, and General Motors on Wednesday. reciprocal tariffs will still go into effect on April 2, but at the request of the companies associated with Usmca, the President is giving them an exemption for one month so they are not at an economic disadvantage. us retail giants predicted that prices were highly likely to start rising on store shelves almost immediately, raising questions about Trump's promises to make America affordable again after years of heightened inflation.

Howard Lutnick, the us Commerce Secretary, indicated on Wednesday that the President could rescind some tariffs as part of a deal with Canada and Mexico.

The Carve-Out comes after markets reacted violently to the Trump administration's imposition of 25% tariffs on us imports into his country.

Trump tore into 'Governor' Justin Trudeau of Canada after an explosive call on Wednesday between the leaders as the tariff war escalates.

Reference Sources

1. ft - Donald Trump hands carmakers one-month reprieve from tariffs
2. cnnen - Tariffs on cars from Mexico and Canada delayed by one month
3. dailymail - Trump accuses 'Governor' Trudeau of using tariffs drama to 'stay in power' in explosive call
4. cnbc - Trump grants automakers one-month exemption from tariffs
5. theguardian - Trump could water down tariffs on Canada and Mexico

Oil Prices Drop on Trump’s Tariffs and OPEC Increases

(Source: Shutterstock)

Oil prices fell for a third consecutive day on Wednesday as investors worried about Opec+ plans to proceed with output increases in April, and US President Donald Trump's tariffs on Canada, China, and Mexico escalated trade tensions.

Brent futures fell 1.4% to $70.02 a barrel by 1149 GMT, while US West Texas Intermediate crude was down 1.2% to $67.54.

The contracts settled near multi-month lows the previous day, weighed down by expectations the US Tariffs and Counter-Tariffs by the affected countries will slow economic growth and reduce fuel demand. oil prices Swooned on Wednesday as economic uncertainty rippled through global markets, a reaction to President Trump's tariffs on Canada, China, and Mexico and a decision by members of the Opec+ oil cartel to begin increasing crude production in April.

Since last year, Opec+ has signaled its intention to pump more oil, but doing so now in the midst of turbulence from a trade war between the United States and various partners surprised some analysts.

Reference Sources

1. euronews - Oil prices drop as OPEC+ agrees to gradually hike output from April
2. aawsat - Oil Down on OPEC+ Output Increase, Tariffs Start and US Pause on Ukraine Aid
3. aawsat - Oil Drops for Third Day on OPEC+ Output Increase, Trump Tariffs
4. nytimesen - Oil Prices Drop on Trump’s Tariffs and OPEC Increases
5. bussinesstimes - Oil prices fall 2% to 12-week low with Opec+ set to increase output - The Business Times

The CommonWealth English daily news digest is a service curated by CommonWealth English team with the help of AI tools.

Have you read?

• Daily News Digest: Trump’s Trade War Escalates
• Daily News Digest: OpenAI To Present Plans for U.S. AI Strategy and an Alliance To Compete With China

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