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Antitrust & Trade Reg.

Sep. 29, 2026

Microsoft defeats federal antitrust claim over OpenAI deal, but California claims survive

A federal judge dismissed ChatGPT subscribers' Sherman Act claim over Microsoft's $13 billion OpenAI partnership but allowed claims under California's Cartwright Act and Unfair Competition Law to proceed.

Microsoft defeats federal antitrust claim over OpenAI deal, but California claims survive
U.S. District Judge P. Casey Pitts

A lawsuit challenging Microsoft's $13 billion partnership with OpenAI can move forward, but only on claims brought under California law, U.S. District Judge P. Casey Pitts ruled Monday.

Pitts dismissed the plaintiffs' Sherman Act claim, finding they failed to show that Microsoft's allegedly anticompetitive conduct caused the type of injury federal antitrust law is intended to prevent. He dismissed the claim without prejudice, giving the plaintiffs, represented by Batha...

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