Microsoft tells European regulators Google has an edge in generative AI

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Tech elephantine Microsoft told European antitrust regulators that rival Google has a competitory separator successful generative artificial intelligence (AI) owed to its trove of information and AI-optimized chips.

Microsoft's comments were successful consequence to a consultation launched by nan European Commission successful January connected nan level of title betwixt tech companies successful generative AI. 

Generative AI devices for illustration OpenAI's ChatGPT and Google's Gemini tin nutrient human-like contented successful consequence to written prompts, but person triggered concerns astir misinformation and intelligence spot violations.

"Today, only 1 institution – Google – is vertically integrated successful a mode that provides it pinch spot and independency astatine each AI furniture from chips to a thriving mobile app store. Everyone must trust connected partnerships to innovate and compete," Microsoft said successful its study to nan Commission.

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A logo marking nan separator of nan Microsoft firm campus

Microsoft told EU antitrust regulators that Google has a competitory separator successful generative AI. ((Photo by Toby Scott/SOPA Images/LightRocket via Getty Images) / Getty Images)

Microsoft explained that Google's AI semiconductors will springiness it a competitory advantage for years to travel and that its ample sets of proprietary information from Google Search Index and YouTube enabled it to train ample connection models that powerfulness Gemini.

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"YouTube provides an unparalleled group of video content; it hosts an estimated 14 cardinal videos. Google has entree to specified content; but different AI developers do not," Microsoft wrote.

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Microsoft says large tech firms partnering pinch startups tin thief forestall anti-competitive vertical integration. (Photo by Cesc Maymo/Getty Images / Getty Images)

It besides said that AI-powered sound assistants for illustration nan Google Assistant and Apple's Siri springiness those companies an edge, penning that they're "well-positioned to germinate and leverage their respective existing sound assistants into activity positions successful generative AI. New entrants and competitors of Google and Apple will not bask nan aforesaid advantages."

Google pushed back connected Microsoft's study pinch a spokesperson telling Reuters that, "We dream nan Commission's study will radiance a ray connected companies that don't connection nan openness of Google Cloud aliases person a agelong history of locking-in customers – and who are bringing that aforesaid attack to AI services."

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Google headquarters

Google pushed backmost connected Microsoft's report, saying EU regulators should look astatine companies that fastener customers into contracts and don't connection unfastened unreality services. (Photo by Tayfun Coskun/Anadolu Agency via Getty Images / Getty Images)

Microsoft's finance of much than $10 cardinal successful OpenAI is nether scrutiny by antitrust regulators successful nan European Union, and nan institution sought to tamp down regulatory concerns astir specified partnerships betwixt tech giants and start-ups. 

It noted Anthropic receiving finance from Google and Amazon, arsenic good arsenic Salesforce and Nvidia investing successful Cohere, positive Microsoft's finance successful French patient Mistral.

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"All of these startups relied connected different forms of investments and partnerships that enabled them to participate and grow successful nan space," Microsoft wrote. "Encouraging pro-competitive partnerships successful nan AI abstraction is an effective measurement to forestall companies from becoming vertically integrated successful a mode that would consequence successful an anti-competitive advantage."

Reuters contributed to this report.

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