The inquiry comes amid concerns that these companies, some of which are already under investigation for antitrust practices, are trying to monopolize the next big technology. The FTC is particularly interested in the division between Anthropic (backed by Google and Amazon) and OpenAI (backed by Microsoft), both of which have received billion-dollar investments. FTC Chair Lina Khan emphasized the need to guard against tactics that could hinder the development and monetization of AI.
Key takeaways:
- The FTC has launched an inquiry into the corporate relationships of top AI companies including Alphabet, Amazon, Anthropic, Microsoft, and OpenAI to determine if their investments and partnerships distort innovation and undermine fair competition.
- No wrongdoing has been alleged at this stage, but the FTC is suspicious of companies already under investigation for antitrust practices, or who have been fined or settled regarding them, seemingly monopolizing the next big technology.
- The companies have been ordered to share information about their partnerships, investments, meeting discussions, analyses of competitive impact, and any information provided to other government entities.
- FTC Chair Lina Khan emphasized the need to guard against tactics that foreclose the opportunity for new markets and healthy competition as companies race to develop and monetize AI.