UK Regulators Probe Google's Investment in AI Startup Anthropic for Antitrust Concerns
July 30, 2024The U.K.'s Competition and Markets Authority (CMA) has initiated a probe into Google's investment in Anthropic, an AI startup, to evaluate potential antitrust concerns.
As part of this investigation, the CMA is inviting interested parties to submit comments until August 13, 2024.
The authority is specifically assessing whether the partnership constitutes a 'relevant merger situation' that would necessitate a formal investigation.
This scrutiny follows the AI boom triggered by the release of ChatGPT by Microsoft-backed OpenAI over 18 months ago.
Anthropic, founded in 2021 by former OpenAI employees, focuses on developing safe and reliable AI models and operates as a public benefit corporation.
A Google spokesperson reiterated the company's commitment to an open AI ecosystem, clarifying that Anthropic is not restricted to exclusive tech rights and can utilize multiple cloud services.
Both Amazon and Alphabet are significant investors in Anthropic, while Microsoft remains the largest investor in OpenAI.
The CMA has expressed concerns about the concentration of power among major tech firms in the AI sector, citing an 'interconnected web' of over 90 partnerships and investments.
An Anthropic spokesperson emphasized the company's independence and commitment to its public benefit mission, asserting that their partnership with Google does not equate to a merger.
As of now, neither Google nor Anthropic has publicly commented on the ongoing inquiry.
The CMA's review, which commenced on July 30, aims to determine if the partnership has led to a substantial lessening of competition in the U.K. AI services market.
Summary based on 13 sources
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Sources
The Guardian • Jul 30, 2024
UK regulator looks at Google’s partnership with AnthropicTechCrunch • Jul 30, 2024
UK antitrust body probes Google's ties with AI rival Anthropic | TechCrunchInvestopedia • Jul 30, 2024
Google's AI Partnership With Anthropic Draws Regulatory Scrutiny in UKQuartz • Jul 30, 2024
Google's multi-billion dollar relationship with Anthropic is under investigation