The Luxembourg Chamber of Commerce, in collaboration with the Luxembourg Competition Law Association (ALEDC) hosted a conference that explored the dynamic competitive landscape in the field of generative AI.
Artificial Intelligence (AI) is becoming both a tool but also a concern for national competition authorities. We recently saw that the Luxembourg Institute of Science and Technology (LIST) and the Competition Authority of Luxembourg joined forces to develop an AI tool to improve the effectiveness of competition law enforcement. On the other hand, the rapidly evolving market of generative AI in particular, has seen many mergers and acquisitions taking place recently. These have caught the attention of competition authorities and have been closely analysed.
How exactly does the competitive landscape in the field of Generative AI look like today? What are the most important barriers to entry in this market for new players? Have national competition authorities expressed concrete concerns over partnerships in the field?
Mrs Charlotte Emin, réferendaire at the General Court of the European Union and a non-governmental advisor to the International Competition Network (ICN) of the French competition authority, gave an extensive presentation that addressed these questions.
Key takeaways include:
◾ The conclusion that market of Generative AI is a very dynamic one, including many players of different sizes;
◾ The existing barriers to enter this market, such as access to quality data and skilled workforce;
◾ The fact that this market has become an area of scrutiny for competition authorities around the world, that have examined agreements and acquisitions in this field under the scope of antitrust law and merger control;
◾ The risk of Regulatory instruments such as the Digital Markets Act and the AI Act having an impact on market dynamics of Generative AI.
The diverse audience, from AI startups to competition lawyers and enforcers, made for a very interactive Q&A session.
