The Digital Economy

Big Tech Investments in AI Startups Do Not Raise Competitive Red Flags

Vivek Ghosal reviews the data, economics, and market conditions of the growing artificial intelligence market and finds that it is quite dynamic in terms of evolving partnerships and firms, and is relatively competitive. Thus, Big Tech investments into AI startups do not warrant investigation by the government at this time.

The Deals That Will Hamper Competition in AI Markets

Matt Perault writes that there is little indication that Big Tech investments in artificial intelligence startups are harming competition. In fact, the opposite is likely true. Antitrust regulators should instead focus their attention on the real threat to AI competition: rules and regulations that will make it harder for startups that to compete with large tech companies.

A Bottom-Up Proposal for Coordinated International AI Supervision

Artificial Intelligence (AI) is poised to permeate across different industry sectors, offering unprecedented opportunities alongside significant risks. Effective governance necessitates coordinated cross-border efforts to build institutional expertise, dispel misconceptions, foster innovation, and align global safety priorities. Advocating structured dialogue and a bottom-up approach, Oscar Borgogno and Alessandra Perrazzelli present a proposal which aims to avoid institutional redundancy and legal unpredictability for individuals and firms.

What Does the Google Antitrust Decision Mean and Where Will It Take Us?

Erik Hovenkamp reviews the findings of Judge Amit Mehta’s ruling against Google for monopolizing the internet search market and discusses what the case will mean for the other ongoing Big Tech cases and the future of antitrust.

How the Massive Google SEO Leak Plays Into the Marketplace for Search

Utsav Gandhi discusses the findings of the May 2024 Google SEO leak, which gave analysts a novel, albeit speculative, look into how Google might choose to promote and demote content. The findings have possible implications for businesses and news organizations struggling to compete for views and suggest that transparency could become an increasing factor in the future search market as new, artificial intelligence-powered competitors enter the market.

The US Google Search Case Is Really About Monopolizing the Future

A United States federal court has found Google in breach of the Sherman Act by pursuing default status for Google Search and Google Chrome. However, Google's motives and the precise ways in which Google Search’s default status serves its interests remain poorly understood by the public and the antitrust community. They pertain to preventing users from migrating to competitors’ offerings in general and, in particular, to capturing user migration to next-generation platforms to access and search the internet. Understanding this motive will be essential in the calibration of forthcoming remedies and provide lessons for future cases against Google and other tech companies also confronted with user migration.

Google Monopoly Ruling Marks Milestone in Big Tech Antitrust Debate

Judge Amit Mehta's ruling declaring Google a monopolist in search represents a significant development in the ongoing debate about Big Tech's market dominance. This decision, stemming from a United States Department of Justice lawsuit, highlights the culmination of years of discussions and research on antitrust issues in the technology sector, particularly surrounding Google's search practices.

Chrome Is the Forgotten Fulcrum of Google’s Dominance

In new research, Shaoor Munir, Konrad Kollnig, Anastasia Shuba and Zubair Shafi explore how Google uses its web browser, Chrome, to maintain its dominance in other online markets, particularly advertising and search. Their findings contribute to an ecosystem analysis of Google’s anticompetitive behavior.

Tech Monopoly

The following is an excerpt from Herbert Hovenkamp's new book, “Tech Monopoly,” now out at MIT Press.

Did Concentration Exacerbate the CrowdStrike Outage?

Roslyn Layton discusses the major outage caused by a software update from CrowdStrike. Layton explores the debate between the risks of concentrated IT security solutions as well as their benefits. She discusses the market response to the incident and examines potential solutions, including AI-driven testing and incremental rollouts, while arguing against government intervention as a fix.

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