The U.K. Competition and Markets Authority (CMA) has launched a preliminary investigation into Amazon's partnership with AI startup Anthropic, following a similar inquiry into Google's collaboration with the same company.

The CMA announced this investigation to assess whether Amazon's investment constitutes a relevant merger situation that could harm competition in the U.K.

The CMA has until early October to determine if Amazon's investment qualifies under merger regulations, with a decision on whether to escalate to a 'phase 2' investigation expected by October 4.

This inquiry reflects broader concerns about how large tech companies might exert control over innovative startups through substantial investments, avoiding the scrutiny typically associated with full acquisitions.

Amazon argues that its investment in Anthropic will enhance competition in the AI market, asserting that Anthropic remains free to collaborate with other providers.

Anthropic has confirmed its independence and plans to cooperate with the CMA to clarify the nature of its relationship with Amazon, emphasizing that Amazon does not hold a board seat or decision-making power.

The CMA's investigation into Amazon's investment is part of a broader effort to scrutinize significant investments by tech giants, including a similar probe into Google's substantial financial backing of Anthropic.

This investigation aligns with a recent commitment from regulators in the U.S., EU, and Britain to collaborate on maintaining fair competition within the tech industry.

Anthropic, valued at $18.4 billion, has raised a total of $10 billion in funding over its three-year history, indicating the intense competition among major tech firms in the AI sector.

The CMA's actions reflect a growing global concern among antitrust regulators regarding the implications of partnerships between major tech companies and smaller startups.

The CMA's decision to initiate this investigation follows feedback gathered from stakeholders earlier this year, indicating a proactive approach to potential anti-competitive risks.