UK watchdog hackles raised by AI-cloud partnerships
www.theregister.com
Billions in investment? Yeeeah, right – looks more like ensuring only select few developers thrive

The UK’s competition watchdog sniffed around the AI industry with a bit more interest than usual on Thursday at an antitrust event in the US.

Speaking at the 72nd Antitrust Law Spring Meeting in Washington, DC, Sarah Cardell, CEO of the UK Competition and Markets Authority, discussed “growing concerns” that the web of connected partnerships between AI technology companies may hinder competition.

“I think it’s fair to say that when we started this work, we were curious,” said Cardell. “Now, with a deeper understanding and watching developments very closely, we have real concerns.”

  • GrymEdm@lemmy.worldEnglish
    111·
    8 months ago

    It’s really important to get news like this out, because backdoor cartel-style deals between big companies is basically accepted business practice now. Companies don’t charge what things cost to provide, or what it takes to make a reasonable profit - they charge what they can get away with and if that means collaborating with “competitors” then that’s not an issue.

    • ᴇᴍᴘᴇʀᴏʀ 帝OPAEnglish
      7·
      8 months ago

      Indeed. There’s another recent article on The Register looking at Amazon and AI, they’re developing AI, creating tools help others train AIs and supplying the cloud infrastructure to do it - it’s all a very complicated set of intertwined interests that’s going to be hard to unpick:

      Amazon, for its part, has partnered closely with AI startups, including a $4 billion investment in Anthropic, the model builder behind Claude.

      At the top of Jassy’s generative AI stack are off-the-shelf applications and services. These are apps like Amazon’s Q code assistant, which debuted last fall, as well as internal applications designed to drive sales.

      “We’re building a substantial number of GenAI applications across every Amazon customer business. These range from Rufus — our new AI-powered shopping assistant — to an even more intelligent and capable Alexa, to advertising capabilities,” he said.

      While Amazon will continue to develop these kinds of AI tools, Jassy expects most generative AI apps will ultimately be built by others.

      “These AWS services, at all three layers of the stack, comprise a set of primitives that democratize this next seminal phase of AI, and will empower internal and external builders to transform virtually every customer experience that we know,” he said.

      It’s probably not a surprise that a lot of the biggest companies in the world have their fingers in the AI pie (Nvidia gets a mention in that article too).

      • GrymEdm@lemmy.worldEnglish
        42·
        8 months ago

        AI is about to become a necessity for basically every industry. It’s to be expected that those on top are making sure they stay on top. I can’t even really fault them for it (although I do fault how greedily they go about it), but I also want government intervention to protect citizens from it. “It” being unethical/harmful business practices.

    • mackwinstonEnglish
      3·
      8 months ago

      That’s nothing new, that’s the very basis of how a firm works out how to price an item or service, at the maximum price the market will bear. It has been this way since the year dot.

      Collaborating with “competitors” however must be prevented or the market won’t work. (This is the reason we have anti-monopoly laws, and anti-collusion laws). The laws exist already they just have to be enforced.