A PYMNTS Company

Microsoft Flags Google’s AI Dominance Amid EU Antitrust Probe

 |  March 14, 2024

In a recent submission to EU antitrust regulators, Microsoft has underscored Google’s significant lead in generative artificial intelligence (AI) fueled by its extensive data reservoir and AI-optimized chips. The tech titan’s comments come as part of a consultation initiated by the European Commission earlier this year to examine the competitive landscape within generative AI, as reported by Reuters.

According to Microsoft’s report to the Commission, Google stands as the sole vertically integrated entity, enjoying unparalleled strength and autonomy across every layer of AI, ranging from hardware, such as AI semiconductors, to a thriving mobile app ecosystem. This integration, Microsoft contends, provides Google with a distinct competitive advantage over its rivals in the rapidly evolving field of generative AI.

Central to Google’s dominance, Microsoft asserts, is its access to vast proprietary datasets from flagship platforms like the Google Search Index and YouTube, comprising an estimated 14 billion videos. Such extensive repositories grant Google a unique edge in training its sophisticated language models, exemplified by its chatbot Gemini.

Furthermore, Microsoft highlights the strategic positioning of Google and Apple in the realm of AI-powered voice assistants, with products like Google Assistant and Siri, respectively. These established voice interfaces not only bolster their current market positions but also serve as springboards for future leadership in generative AI.

Read more: Google Says Microsoft Engaging In Anti-Competitive Cloud Practices

Addressing concerns over potential anticompetitive practices, Microsoft emphasizes the importance of fostering pro-competitive partnerships within the AI landscape. The company cites examples such as Anthropic, backed by Google and Amazon, Mistral, with Microsoft as a significant investor, and Cohere, boasting investments from Salesforce and Nvidia.

In advocating for regulatory support for such collaborative endeavors, Microsoft contends that encouraging these partnerships is instrumental in preventing the consolidation of AI dominance by a few major players, thereby promoting a more diverse and innovative ecosystem.

As EU antitrust regulators scrutinize the tech industry’s landscape, Microsoft’s assertions shed light on the ongoing rivalry between tech giants and the complexities surrounding competition in the burgeoning field of generative AI.

Source: Reuters