To understand the dynamics of Artificial Intelligence (AI)’s transformative capabilities and its impact on competition, the Competition Commission of India (CCI) has invited proposals from agencies or institutions to conduct a market study.
The study aims to explore both the pro-competitive potential and the competition concerns arising from the use of AI across various sectors.
The objectives of the study include a multifaceted exploration into AI and competition, aiming to illuminate critical aspects of this rapidly evolving landscape. The study will analyse key AI systems, stakeholders, market structures, and parameters of competition. Potential competition issues within the AI markets will be scrutinised. The scope and nature of AI applications will be studied to evaluate associated opportunities, risks, and competition ramifications.
Existing and evolving regulatory frameworks governing AI systems and applications in the country and other major jurisdictions will be examined. Additionally, trends and patterns of AI will be analysed to ascertain the enforcement and advocacy priorities of the CCI.
It will encompass various aspects within AI ecosystems and the impact of AI applications on competition, efficiency, and innovation in user industries.
Key focus areas include:
• Analysis of key AI systems based on machine learning, natural language processing, and computer vision.
• Examination of market size, growth trends, and concentration within AI development ecosystems.
• Identification of entry barriers, revenue generation strategies, and competitive advantages in AI markets.
• Assessment of AI applications in user industries such as retail, e-commerce, logistics, and marketing.
• Investigation into AI’s influence on market structure, conduct, and performance, including its role in shaping consumer behaviour.
• Scrutiny of potential anti-competitive strategies facilitated by AI and measures to address them.
• Evaluation of regulatory frameworks governing AI and best practices for assessing its impact on competition.
The study will employ a combination of secondary and primary research, including collation of existing research and secondary data, identification and construction of a database of stakeholders, surveys, interviews, as well as focused group discussions with key stakeholders, compilation, analysis, and triangulation of qualitative and quantitative information, and preparation of an interim report followed by a final report.
It was also stated that both the CCI and the selected agency will nominate Single Points of Contact (SPOCs) for daily coordination. CCI officers will be part of the study team to ensure timely completion and quality assessment. Interested agencies or institutions are requested to submit proposals by June 3, as per the guidelines provided in the Request for Proposal (RFP) document available on the CCI website.
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