The FTC is specifically seeking information about the strategic rationale of investments/partnerships, the practical implications of these partnerships, analysis of the transactions’ competitive impact, competition for AI inputs and resources, and information provided to any other government entity related to these topics. The companies have 45 days to respond to the order. The Commission voted 3-0 to issue the orders and conduct the study of AI investments and partnerships.
Key takeaways:
- The Federal Trade Commission (FTC) has issued orders to Alphabet, Amazon, Anthropic, Microsoft, and OpenAI to provide information about their investments and partnerships with generative AI companies and major cloud service providers.
- The FTC's 6(b) inquiry aims to understand these corporate relationships and their impact on the competitive landscape.
- The orders were issued under Section 6(b) of the FTC Act, which allows the Commission to conduct studies to gain a deeper understanding of market trends and business practices.
- The companies have 45 days from the date they receive the order to respond, and the Commission voted 3-0 to issue the Section 6(b) orders and conduct the study of AI investments and partnerships.