The UK's Competition and Markets Authority (CMA) highlights concerns raised by the current situation in the AI sector. The increasing dominance of large technology companies such as Google, Amazon, Microsoft, Meta and Apple in the sector is worrying, according to the CMA. The report, published on April 11, states that increasing connections and concentrations in the sector may have negative effects on competition.
Dominance and Competition Concerns
It is stated in the report that the potential benefits, as well as the consistent participation of the prominent technology giants in the artificial intelligence sector in the value chain, are acknowledged. However, the report also points out the risk that competition in open markets will decrease and artificial intelligence base models may lead to negative market consequences.
Risks for the Protection of Competition
The CMA report appears to indicate three main risks that could harm fair competition. Among these risks; Developer companies dominate vital inputs, technology giants influence service choices, and partnerships are formed that may restrict competition.
Balances in the Sector and Regulation Focused Approach
CMA director Sarah Cardell is calling on regulators to avoid past mistakes and introduce more transparent merger reviews. It also highlights the importance of examining the principles set by the CMA to promote responsible development in the AI sector and the relationships between Microsoft and OpenAI.
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