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But as it seems, the MicrosoftXbox vs. FTCsaga might be coming to an end soon.

The commission recentlywithdrew its in-house trialagainst Microsoft’s pending acquisition of Activision Blizzard.

OpenAI and ChatGPT

The commission has issued a 20-page demand letter highlighting its concerns over OpenAI’s data security practices.

There’s also a rising concern over ChatGPT’s impact on its user’s reputation.

In recent developments, a study conducted by Standford highlighted thatChatGPT is getting dumber over time.

Open AI + Microsoft

Since then, Microsoft has integrated AI across most of its products and services.

Analysis

The FTC’s mandate is to protect the consumers' best interests from malicious practices.

The companies behind these tools heavily rely on private and public data to train their AI models.

OpenAI and ChatGPT

Determining precisely how this is done is impossible as the chatbots aren’t always accurate.

In the past, several reports have been made aboutBing Chat hallucinatingand even giving wrong responses.

As such, many organizations have openly raised concerns over these chatbots and how they work.

Sam Altman and Satya Nadella on stage

Their reluctance is mainly centered around security and copyright concerns.

They were able to enter the credentials via info-stealing malware.

There’s a need for rules and regulations that will be used to govern how AI developments are made.

Artificial Intelligence AI Assistant Apps - ChatGPT, Anthropic Claude, Google Gemini, Microsoft Copilot, Perplexity, Poe.

Earlier this year, key industry players signed a letter requesting a six-month hold on developing newer entries.

This is to provide lawmakers with ample time to keep up with recent developments in the sector.

But we also knew we couldn’t do all the alignment in the lab.

Open AI CEO Sam Altman speaks during a talk session with SoftBank Group CEO Masayoshi Son at an event titled "Transforming Business through AI" in Tokyo, Japan, on February 03, 2025.

If the FTC’s investigation uncovers wrongful acts by OpenAI.

It could negatively impact Microsoft.

It will be interesting to see what the FTC uncovers during its investigation and the next steps moving forward.

Satya Nadella with Sam Altman at a conference

We’ll keep you posted when we know more about this developing story.

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U.S. President Donald Trump speaks during the United Nations General Assembly seen on a laptop computer in Hastings on the Hudson, New York, U.S., on Tuesday, Sept. 22. 2020.

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