The UK’s Competition and Markets Authority (CMA) has given the green light to Google’s $2 billion investment in AI startup Anthropic. The CMA concluded that the investment does not grant Google “material influence” over the company, closing the initial investigation announced in October and ruling out the need for a deeper probe under merger regulations.
Google’s stake includes non-voting shares and consultation rights on major business decisions, which the CMA deemed insufficient to impact Anthropic’s independence. A company spokesperson affirmed this, stating, “Our strategic partnerships and investor relationships do not diminish our corporate governance independence or our freedom to partner with others.”
Anthropic, known for its Claude AI assistant, directly competes with Google’s Gemini in the AI space. The CMA’s decision comes amid broader concerns over the growing web of partnerships within the fast-evolving AI industry.
Notably, the CMA chose not to investigate Amazon’s $4 billion investment in Anthropic earlier this year, as it didn’t meet thresholds for UK market impact. However, Microsoft’s investments in OpenAI are still under review, though its deals with Mistral and Inflection AI have already been cleared.
This approval highlights the CMA’s effort to balance fostering innovation with maintaining competition. The decision allows Google and Anthropic to continue their collaboration, contributing to the competitive landscape of the AI industry.