As Big Tech companies like Microsoft continue to expand their AI partnerships, particularly with emerging startups, regulatory scrutiny in the European Union EU is intensifying. Microsoft’s recent collaboration with French startup Mistral AI has brought these concerns to the forefront, raising questions about the implications for AI governance and regulatory compliance.
Announced on Monday, Microsoft’s partnership with Mistral AI involves making Mistral’s AI models accessible through Microsoft’s Azure cloud computing platform. While Microsoft has disclosed a €15 million investment in Mistral AI, it currently holds no equity in the company. However, Microsoft has indicated that the investment will convert into equity in Mistral AI’s next funding round.
The backdrop of negotiations surrounding the EU’s AI Act has further amplified concerns regarding Mistral’s lobbying efforts for more lenient regulations concerning its AI models. This has sparked discussions within the European Parliament about the necessity of stringent regulations to ensure the safety of AI models with systemic risks.
Brando Benefei, a member of the European Parliament involved in overseeing the creation of the AI Act, emphasized the importance of maintaining ambition in AI safety regulations despite industry lobbying. He underscored the need for robust regulatory frameworks to safeguard consumer interests and mitigate potential risks associated with AI technologies.
In addition to Mistral AI, Microsoft’s involvement with OpenAI, The EU has signaled its intention to examine Microsoft’s backing of OpenAI under its merger rules, reflecting a broader trend of increased vigilance over AI partnerships within the region.
As discussions unfold, the outcome of regulatory scrutiny over Microsoft’s AI partnerships, including its collaboration with Mistral AI, will have far-reaching implications for the governance of AI technologies in the EU. It will shape the regulatory landscape for Big Tech’s engagements with emerging AI startups and influence the trajectory of AI development and deployment in the region.
Microsoft’s partnership with Mistral AI and the broader regulatory scrutiny it faces underscore the importance of robust AI governance frameworks to address emerging challenges and ensure responsible AI innovation in the EU and beyond.
