NVIDIA provides GPUs for data centers, while Run:ai provides GPU orchestration software. These products must be compatible, and it was thought that acquisitions could result in companies intentionally hindering the compatibility of their respective products with competitors.
However, the Commission’s investigation found that NVIDIA could not prevent its GPUs from being compatible with Run:ai’s competitors’ orchestration software because of the extensive nature of the tools that ensure such compatibility. Additionally, Run:ai lacks a dominant position in the GPU orchestration software market, as many equivalent alternatives are available or can be built in-house. Due to which this agreement was approved unconditionally.
NVIDIA’s purchase of Run:ai aims to improve user satisfaction, performance.
Big tech firms are increasingly investing in young AI startups to gain early control and capitalize on the AI boom. In particular, this can be seen through partnerships e.g Microsoft and OpenAI, NVIDIA and Inflection AIand Google and Anthropic.
However, such collaborations can lead to market dominance, making it difficult for other independent companies to obtain funding, attract talent, or compete with the advanced technology and reach of larger players. Innovation within AI specifically depends on just a few elements, GPUs being one of them.
NVIDIA Announced its plans to buy Run:ai. in April to “help customers make more efficient use of their AI computing resources.” Run:ai’s platform dynamically allocates GPU resources, whether on-premises, in public clouds, or at the edge, allowing companies to get the most out of their hardware and reduce operational costs.
“Together with Run:ai, NVIDIA will enable customers to have a fabric that accesses GPU solutions,” NVIDIA said in the acquisition announcement.
The two companies have been working together since around 2020. The deal is worth $700 million. Tech Crunchand NVIDIA currently has no plans to change Run:ai’s business model.
Initially, Italy flagged the deal in the EU integration regulation, which allows for mergers that do not have an EU dimension but may affect trade and competition within the region. Although it did not meet the EU or Italy turnover thresholds, at the time, the Italian competition authority determined that the acquisition either posed substantial risks to competition or met other conditions set out in the Italian Competition Act.
See: UK investigates Alphabet’s partnership with Anthropic over competition concerns
The EU continues to hold Apple accountable by proposing interoperability measures to comply with the Digital Markets Act.
Commission on December 19 Suggested measures to enhance collaboration Between Apple’s iOS and iPadOS and third-party devices, which is required under DMA. Apple has expressed concerns that giving access to its operating system could compromise user privacy.
Among the measures recommended by the commission are improving compatibility between iOS and the features of devices such as smartwatches and earbuds. These features include notifications, automatic Wi-Fi connection, AirPlay, AirDrop, and automatic Bluetooth audio switching.
The authority also recommends that Apple make its process for developers to request interoperability within iOS and iPadOS features more transparent and predictable. This includes providing clear information about its internal features and timely status updates for applications.
Apple says the measures will affect privacy, security.
In response to the measures, Apple published a Document Outlining how providing access to its technology stack and thereby user data may compromise privacy and security. It also highlights how MetaPlatforms has made 15 requests under the DMA to access Apple’s software tools, including messages, iPhone mirroring, and all of a user’s Apple devices. Connectivity to
“If Apple were to approve all of these requests, Facebook, Instagram, and WhatsApp would allow Meta to read all of their messages and emails on a user’s device, see or receive every phone call they make, everything they do. “Can track the apps they use, scan all their photos, see their files and calendar events, log all their passwords, and more,” Apple said. wrote “This is data that Apple itself has chosen not to access in order to provide users with the strongest possible protection.”
Apple also highlighted that Meta has been “repeatedly fined by regulators for privacy violations.” In 2019, Metta agreed to pay. US Federal Trade Commission fined $5 billion To settle privacy investigations, including unauthorized sharing of user data with third parties. It was also 1.2 billion euro fine 2023 by the Irish Data Protection Commission for breaching GDPR.
See: Meta offers less personalized advertising to EU consumers to satisfy regulators.
However, Metta has not taken this lie. Andy Stone, Director of Meta Communications Posted on X.: “Here’s what Apple is really saying: They don’t believe in interoperability. In fact, every time Apple is called out for anti-competitive behavior, they defend themselves on privacy grounds that have no basis in fact. is
The commission is now gathering feedback on its proposed measures, which could affect the final set awarded to Apple.
Apple’s Ongoing Struggle with the Digital Markets Act
DMA has been a source of controversy for Apple since it went into effect in September 2022. On November 4, the commission announced its investigation into whether Apple’s iPadOS operating system Complies with legislation..
DMA requirements apply only to 24 Basic Platform Services Offered by seven “gatekeeper” companies, including Alphabet, Amazon, Apple, Booking, ByteDance, Meta, and Microsoft. The gatekeepers have it. A major economic influence in the European Union. and more than 45 million monthly users in the region or more than 10,000 annual business users for at least three years.
Along with iPadOS, the App Store, Safari, and iOS, the main platform is included in the list of services it provides. “A critical gateway for business users to reach end usersHowever, platforms must comply with DMA requirements. iPadOS users must, among other conditions, choose their default web browser, use third-party app stores, and use features with non-Apple accessories such as headphones and smart pens. Must be able to explore.
Interestingly, macOS is not considered a core platform service, ie European Mac owners can access Apple Intelligence. When it is issued. Apple has asserted that it will not bring its AI offering to the EU due to “regulatory uncertainty” brought on by the DMA. However, an exception can be made because macOS is not required to comply.
On November 1, Apple published a report detailing measures implemented in iPadOS to comply with DMA. The Commission will now assess whether these measures are sufficient. However, if found in violation, Apple could be fined up to 10 percent of its worldwide turnover.
See: Apple must repay €13 billion in unpaid taxes to Ireland, EU court rules
So far, the Cupertino giant has not backed down from the legislation. In January, he said Accessing third-party apps on Apple devices poses security risks.including “malware, fraud and scams, illegal and harmful content.”
The European Commission launched three other investigations into Apple’s DMA compliance last year.
In June, the company was charged for DMA Violation For a number of reasons, including developers not making it easy for their users to purchase options outside of the app that don’t benefit Apple financially. He also launched a Investigation of non-compliance In whether Apple discourages developers from hosting their iOS apps on third-party platforms.
In August, Apple announced that it would Allow EU users to delete pre-installed apps on iOS 18. To comply with the DMA. It also clarified the “Browser Choice Screen” and expanded several default apps that can be replaced with third-party versions.