News Report Technology
October 10, 2023

AI Could Strengthen Big Tech Monopoly, Warns German Antitrust Head

In Brief

Germany’s cartel office head, Andreas Mundt, expressed concerns about Big Tech’s dominance through AI, citing their access to vast user data and robust server infrastructure.

ai big tech germany

The head of Germany’s cartel office, Andreas Mundt has raised concerns about the increasing influence of AI on Big Tech’s market power. He urges regulators to remain vigilant against potential anti-competitive behavior in the rapidly evolving AI landscape.

Mundt highlighted the significant advantage that companies like Alphabet’s Google and Microsoft hold in the AI space, owing to their access to vast user data and robust server infrastructure.

As AI continues to gain prominence in various sectors, including smart homes, web search, online advertising, and automotive technology — regulatory concerns have escalated worldwide. The European Union is racing to establish comprehensive AI regulations by year-end. Mundt emphasized the need for competition authorities to prevent AI from further strengthening the dominance of major corporations.

Besides concerns that AI will further empower dominant Big Tech companies, Mundt finds Europe’s investment and development conditions less favorable than those in the US. Furthermore, he sees competition tools primarily addressing issues like tying, envelopment, and mergers rather than promoting cooperation, such as Microsoft’s partnership with OpenAI. He also believes that regulating AI through the EU’s AI Act may be premature due to early-stage AI development.

“However, models from smaller providers could also become so popular that they develop in the direction of a kind of operating system, a new platform. Both developments are possible, and as an authority, we have to be careful that any competitive potential is not buried from the outset,”

he said.

While Mundt acknowledged that competition in the AI field is still possible, he cautioned against potential scenarios where smaller AI providers could evolve into dominant platforms or operating systems, potentially stifling competition from the outset. 

As regulators grapple with the challenges posed by AI’s rapid growth, ensuring a level playing field and preserving competitive potential remains a top priority.

Read more:

Disclaimer

In line with the Trust Project guidelines, please note that the information provided on this page is not intended to be and should not be interpreted as legal, tax, investment, financial, or any other form of advice. It is important to only invest what you can afford to lose and to seek independent financial advice if you have any doubts. For further information, we suggest referring to the terms and conditions as well as the help and support pages provided by the issuer or advertiser. MetaversePost is committed to accurate, unbiased reporting, but market conditions are subject to change without notice.

About The Author

Agne is a journalist who covers the latest trends and developments in the metaverse, AI, and Web3 industries for the Metaverse Post. Her passion for storytelling has led her to conduct numerous interviews with experts in these fields, always seeking to uncover exciting and engaging stories. Agne holds a Bachelor’s degree in literature and has an extensive background in writing about a wide range of topics including travel, art, and culture. She has also volunteered as an editor for the animal rights organization, where she helped raise awareness about animal welfare issues. Contact her on [email protected].

More articles
Agne Cimerman
Agne Cimerman

Agne is a journalist who covers the latest trends and developments in the metaverse, AI, and Web3 industries for the Metaverse Post. Her passion for storytelling has led her to conduct numerous interviews with experts in these fields, always seeking to uncover exciting and engaging stories. Agne holds a Bachelor’s degree in literature and has an extensive background in writing about a wide range of topics including travel, art, and culture. She has also volunteered as an editor for the animal rights organization, where she helped raise awareness about animal welfare issues. Contact her on [email protected].

The DOGE Frenzy: Analysing Dogecoin’s (DOGE) Recent Surge in Value

The cryptocurrency industry is rapidly expanding, and meme coins are preparing for a significant upswing. Dogecoin (DOGE), ...

Know More

The Evolution of AI-Generated Content in the Metaverse

The emergence of generative AI content is one of the most fascinating developments inside the virtual environment ...

Know More
Join Our Innovative Tech Community
Read More
Read more
How EigenLayer’s Free-Market Governance Model Is Changing Ethereum’s Security Landscape
Software Stories and Reviews Technology
How EigenLayer’s Free-Market Governance Model Is Changing Ethereum’s Security Landscape
April 22, 2024
Othentic Raises $4M Funding From Breyer Capital To Advance Development Of Modular Networks In Shared Security Environment
Business News Report Technology
Othentic Raises $4M Funding From Breyer Capital To Advance Development Of Modular Networks In Shared Security Environment
April 22, 2024
Celo Developer cLabs Proposes Launch Of Its Ethereum Layer 2 Solution On Optimism’s OP Stack
News Report Technology
Celo Developer cLabs Proposes Launch Of Its Ethereum Layer 2 Solution On Optimism’s OP Stack
April 22, 2024
ICON Integrates Its Cross-Chain DEX Balanced With Injective, Announces Regular INJ Token Purchases
Business News Report Technology
ICON Integrates Its Cross-Chain DEX Balanced With Injective, Announces Regular INJ Token Purchases
April 22, 2024