European Commission Explores Virtual Worlds and Generative AI to Understand Competitive Landscape
The European Commission has taken a step forward in understanding emerging digital markets by launching a call for contributions focused on virtual worlds and generative artificial intelligence (AI). These initiatives aim to gain insights into the competitive dynamics of these rapidly evolving sectors.
The Commission has reached out to various stakeholders, including developers, consumers, and academic experts, requesting information to obtain a comprehensive view of the current state of competition in these innovative fields. By gathering experiences and insights from players across the industry, the Commission hopes to ensure a fair and innovative market.
Virtual worlds, which combine physical and digital realities in persistent and immersive environments, have gained significant traction. The European market for virtual worlds is estimated to have exceeded €11 billion in 2023. These platforms have become increasingly prominent for activities ranging from socializing to business transactions. Therefore, understanding the competitive dynamics of virtual worlds is crucial.
Generative AI, on the other hand, is known for its ability to create synthetic audio, images, videos, and text in response to user prompts. This technology has also come under scrutiny by the European Commission. With an estimated €7.2 billion in AI venture capital investment in the EU in 2023, generative AI’s impact is undoubtedly significant. The Commission aims to assess how these technologies influence market dynamics and competition.
Moreover, the European Commission is investigating agreements between major digital market players and generative AI developers. One specific focus is Microsoft’s investment in OpenAI, with the Commission assessing whether it falls under the EU Merger Regulation. This demonstrates the Commission’s commitment to monitoring and regulating the evolving digital market landscape.
Responses to the call for contributions must be submitted by March 11, 2024. The Commission plans to thoroughly review all input and may organize a workshop in the second quarter of 2024 to discuss the findings. This initiative is part of the EU’s broader strategy to address the challenges and opportunities presented by these technologies, exemplified by the AI Act and Communication on Web 4.0.
The European Commission’s proactive approach in assessing the competitive landscape of virtual worlds and generative AI is crucial for ensuring that these technologies develop in a way that promotes innovation, respects fundamental rights, and maintains fair competition. These contributions will play a pivotal role in shaping the future of these dynamic sectors in the EU and globally.
References:
– European Commission Investigates Virtual Worlds & Generative AI to Understand Competitive Landscape. (Provide hyperlinks to original article here)
