Washington, D.C. – US regulators have initiated an inquiry into major players in the artificial intelligence industry, including Microsoft, OpenAI, and Nvidia, over potential violations of antitrust laws governing fair competition. The investigation, led by the Department of Justice (DoJ) and the Federal Trade Commission (FTC), aims to examine the roles of these companies in the AI market, with a specific focus on preventing monopolies and ensuring fair business practices.
The DoJ will specifically investigate Nvidia, the leading producer of chips used in training and operating AI systems, to determine if the company has breached antitrust laws. Meanwhile, the FTC will delve into the activities of OpenAI, the company behind the popular ChatGPT chatbot, and Microsoft, a major investor in OpenAI and other AI ventures.
Reports indicate that the FTC is also looking into a recent deal between Microsoft and startup Inflection AI, raising concerns about potential antitrust issues. This move comes amidst growing regulatory interest in the AI market, exemplified by previous inquiries into major tech companies like OpenAI, Microsoft, Google’s parent company Alphabet, Amazon, and others.
The head of the justice department’s antitrust division, Jonathan Kanter, emphasized the importance of addressing monopoly concerns and ensuring a competitive landscape in the tech industry. As Nvidia’s valuation recently hit $3 trillion for the first time, surpassing Apple, regulators are under pressure to act swiftly to prevent any single company from dominating the market.
Legal experts suggest that the collaboration between the DoJ and FTC signals a more unified approach to tackling antitrust issues in the AI sector. With AI being viewed as the next frontier for potential anticompetitive behavior, regulators are keen on ensuring fair competition and preventing market distortions caused by powerful tech corporations.
Both the DoJ and Microsoft declined to provide comments on the ongoing investigation, while the FTC, Nvidia, and OpenAI have also refrained from making any statements. The outcome of the inquiry could have significant implications for the AI industry and the broader tech sector, highlighting the increasing scrutiny on big tech firms and their business practices.