Microsoft could face a hefty fine of up to 1% of its annual revenue if it fails to respond to an EU request for information by May 27. The request, made under the EU's Digital Services Act, pertains to potential risks associated with Bing's generative AI features. The EU Commission warns of possible fines up to 1% of Microsoft's total annual income and daily penalties of up to 5% if the request is ignored. In Microsoft's case, a 1% fine could exceed $2 billion based on its 2023 revenue of $211 billion.