In a recent development, the UK’s antitrust authority has cast a critical eye on Alphabet Inc.’s partnership with the AI startup Anthropic, raising questions about its potential impact on market competition. This scrutiny comes as part of a broader global concern over major tech giants forming alliances with emerging AI firms.
The AI landscape has been rapidly evolving since Microsoft-backed OpenAI’s ChatGPT sparked a surge of interest in artificial intelligence. Regulators across the world have started paying closer attention to various high-profile collaborations between tech behemoths and smaller AI startups.
Among these deals are Microsoft’s engagements with startups like OpenAI, Inflection AI, and Mistral AI, as well as Alphabet’s connections with companies such as Anthropic and Cohere. Anthropic, known for its Claude AI models, competes directly with OpenAI’s GPT series for industry dominance.
In a recent joint statement, the Competition and Markets Authority (CMA) of the UK, along with counterparts in the US and EU, pledged to collaborate in maintaining fair competition within the AI sector.
Anthropic, which was established by former OpenAI executives Dario and Daniela Amodei, announced last year a significant investment of $500 million from Alphabet, with an additional $1.5 billion pledged for future support. Now, the CMA is inviting public feedback on whether this partnership could stifle competition in the UK, with comments due by August 13. A decision on whether to proceed with a formal investigation will follow this consultation period.
As of now, Alphabet has yet to respond to requests for comment, and Anthropic has declined to provide a statement.
