Microsoft’s recent acquihire deal with Inflection AI, a startup focused on developing advanced language models, has caught the attention of US antitrust regulators. The deal, which involves hiring Inflection AI’s employees and acquiring its technology, is being scrutinized by the Federal Trade Commission (FTC) and the Department of Justice (DOJ) over potential competition concerns. The probe highlights the growing scrutiny of Big Tech companies’ acquisitions, particularly in the field of artificial intelligence (AI). Regulators are concerned that Microsoft’s move could further solidify its dominance in the AI market and potentially limit competition. The investigation aims to determine whether the deal could harm consumers by reducing innovation or raising prices. Microsoft has defended the deal, stating that it will help accelerate its AI efforts and benefit customers. However, regulators are taking a closer look at the potential impact on the AI landscape and the implications for future competition and innovation.