Assessing the competitive dynamics of AI partnerships
Year: 2025
Type: article
Abstract: Artificial Intelligence (AI) partnerships have become a prevalent strategy in AI markets, enabling developers to access critical resources for developing and deploying AI models. As concerns over market concentration and potential anticompetitive practices by incumbent firms grow, competition authorities worldwide are intensifying their scrutiny of these partnerships, using a range of enforcement and regulatory tools. However, reviewing these partnerships presents new and complex competition challenges. This paper first categorises AI partnerships into five types based on their rationale, namely, expertise, data, compute, distribution, and investment partnerships. It then explores key competition concerns identified through market studies and investigations, analysing them through the frameworks of merger laws, antitrust laws, and relevant regulations. The paper concludes with policy recommendations, suggesting competition authorities ensure predictability in the application of merger control rules to provide legal certainty, make competition principles more actionable, and develop pro-competitive and innovation-friendly regulations.
Source: Competition Law & Policy Debate
Authors: Christophe Carugati, Nicole Kar
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W4407501329