British Government Regulators Launch Formal Investigation Into AI

British regulators AI investigation

Photo Credit: Luca Herrmann

The UK’s Competition and Markets Authority (CMA) is launching an inquiry into the impact of AI on the UK economy.

Large language models and generative artificial intelligence are impacting how people create art with remarkable speed. The investigation seeks to understand how these AI models are developing and to produce an assessment of the conditions and principles that will guide the development of these models and their use in the future.

The CMA will investigate how the development of AI models raises issues like safety, security, copyright, privacy, and human rights issues as well as economic impacts. “AI has burst into the public consciousness over the past few months but has been on our radar for some time,” adds Sarah Cardell, Chief Executive of the CMA. “It’s a technology developing at speed and has the potential to transform the way businesses compete as well as drive substantial economic growth.”

“It’s crucial that the potential benefits of this transformative technology are readily accessible to UK businesses and consumers while people remain protected from issues like false or misleading information,” she continues. “Our goal is to help this new, rapidly scaling technology develop in ways that ensure open, competitive markets and effective consumer protection.”

The CMA is seeking views and evidence from stakeholders and welcomes submissions through June 2, 2023. It encourages any interested parties to respond and be proactive in identifying relevant evidence for their position. Following evidence gathering and analysis, the CMA will publish a report with its findings in September 2023.

In March 2023, the UK Government published its white paper on AI, noting that a pro-innovation and proportionate approach to the regulation of how AI is used is key to realize the benefits it has to offer. Part of that means understanding how this rapidly evolving technology can impact established business models and create new trends in digital markets.