The U.S. Federal Trade Commission (FTC) will keep a close eye on potential anticompetitive behaviors by Big Tech firms in the AI space, according to Chair Lina Khan.
Because machine learning relies on large amounts of data and storage, the FTC needs "to be very vigilant to make sure that this is not just another site for big companies to become bigger," Khan said.
- Speaking during an antitrust conference today, Khan said she is concerned that large AI companies may end up using anticompetitive tactics to maintain dominance in the industry.
- Khan warned that companies should be careful not to overstate or oversell what their AI products and services can do.
- "Sometimes we see claims that are not fully vetted or not really reflecting how these technologies work," Khan said,
- As a result, AI developers could be held liable if their AI technologies are "designed to deceive," she added.
- The FTC, which enforces U.S. antitrust laws along with the U.S. Department of Justice, released an update last month warning marketers and advertisers to keep their AI product claims "in check."
- An FTC attorney said AI is a hot marketing term, and some advertisers can't "stop themselves from overusing and abusing" such terms.
- The FTC says businesses should consider if their products actually use AI and should know they cannot get away with "baseless claims" that a product is AI-powered.
