The U.K. government is conducting an initial investigation into the collaboration between Amazon and Anthropic to determine if it will reduce competition. This investigation follows a similar probe into Alphabet’s partnership with the AI startup.
In March, Amazon completed a $4 billion investment in Anthropic, known for its Claude LLM family, which competes with OpenAI’s ChatGPT and Google’s Gemini. As part of the investment, Anthropic committed to using Amazon Web Services for key workloads and agreed to utilize Amazon’s Trainium and Inferentia chips.
The Competition and Markets Authority is concerned that this partnership could limit competition in the U.K. tech markets. A decision on whether to proceed with a further investigation will be made by Oct. 4.
Both companies have emphasized their independence and willingness to cooperate with the investigation. Amazon stated that the collaboration with Anthropic aims to increase choice and competition in the AI sector.
The CMA is also investigating partnerships between other Big Tech firms, such as Microsoft and Alphabet, and AI startups to ensure fair competition and consumer protection in the rapidly growing AI industry. The regulatory authority is prepared to enforce laws and penalties to promote competition in the market.
