The recent White House Conference on Competition Policy and Artificial Intelligence, convened by Lael Brainard, Assistant to the President and National Economic Advisor, took important steps forward in resolving the entanglement of AI with economic and competition policy. The meeting brought together a diverse group of stakeholders to discuss the Administration’s approach to AI and emphasized its role in creating fair, open, and competitive markets.
At the center of the discussion was the risk of market concentration within the AI ecosystem, which encompasses a variety of key components such as semiconductors, computing power, cloud storage, talent, and data. High concentration in these areas raises concerns about market fairness and accessibility, especially for small businesses and new entrants. The conference also highlighted the potential of open source models and custom AI applications to reshape the competitive landscape.
Participants also expressed concerns about collusive behavior within the industry and emphasized the importance of scrutinizing partnerships and investments. Lack of competition in AI can have negative consequences, including rising prices, lower quality, stifling innovation, and violating privacy. The rise of AI may also pose new challenges to competition law and policy, potentially exacerbating issues such as price fixing and self-favoring.
Under Biden-Harris leadership, the administration is committed to fostering competition and innovation as key components of AI policy. This commitment is evident in President Biden’s executive order mandating promoting competition in AI and related technologies. The order also focuses on supporting small and medium-sized enterprises to commercialize AI products and directs the National AI Research Resources Pilot Project to provide essential resources such as computing power and data to AI researchers and small and medium-sized enterprises.
The meeting was attended by representatives of the White House Congress and federal agencies, including the National Economic Council, National Security Council, Domestic Policy Council, Office of Science and Technology Policy, Council of Economic Advisers, Federal Trade Commission, and State Department. righteousness. External participants include the American Economic Liberties Project, Tech Oversight Project, Economic Security Project, Center for Democracy and Technology, AI Now Institute, and Open Markets. Represented a variety of organizations, including the Institute and several universities and law schools.
This meeting highlights the Administration’s proactive stance in shaping AI policy that benefits the broader economy and society. It also emphasizes the role of governments in guiding AI development toward ethical, fair, and competitive practices.
Image source: Shutterstock