Even as regulators around the world are grappling with the rising threat of Big Tech firms, the Competition Commission of India (CCI) on Friday has chosen Management Development Institute Society (MDIS) to conduct market study on artificial intelligence (AI) and competition. The terms of the contract with MDIS includes understanding of certain key AI systems, stakeholders, value chains, and market structures, etc.
“The objectives of the study is to examine the emerging and potential competition issues in these markets, and to study the scope and nature of AI applications, and assess associated opportunities, risks and ramifications from a competition standpoint,” the official statement said.
In April this year, the competition watchdog had invited proposals for the study. “The transformative capabilities of AI have significant pro-competitive potential, both on the supply and the demand side. At the same time, there may be concerns with regard to potential competition risks stemming from the use of AI. The proposed study will be a knowledge building exercise to develop an in-depth understanding of the emerging competition dynamics in the development ecosystems of AI systems and implications of AI applications for competition, efficiency and innovation in key user industries,” the tender notice said.
Meanwhile, rise of Big Tech is forcing regulators around the world to re-look at their existing laws. For instance, in the EU, the Digital Markets Act, AI Act, Digital Services Act are being designed to regulate tech firms. In India too, the ministry of corporate affairs (MCA) is in the process of framing the digital competition bill that will look into anti-competitive conduct of the Big Tech with an ex-ante approach.
