FTC Asks Amazon for More Details on Deal with AI Startup Adept: Reuters
The US Federal Trade Commission (FTC) has set its sights on Amazon’s recent deal to hire top executives and researchers from artificial intelligence startup Adept, sparking concerns about the growing influence of Big Tech in the AI space.
According to a source familiar with the matter, the FTC has requested more details from Amazon regarding its acquisition of key personnel from Adept, including Chief Executive David Luan. The move comes as part of a broader review of partnerships between tech giants like Amazon and AI startups, highlighting the regulatory scrutiny surrounding such deals.
Amazon’s efforts to bolster its AI capabilities and compete with industry leaders like Google and Microsoft have been well-documented. The company recently announced the formation of the Artificial General Intelligence (AGI) team, led by Luan and focused on developing large language models. This strategic move is seen as crucial for Amazon to keep up with its competitors in the rapidly evolving AI landscape.
Founded in 2022, Adept initially attracted significant investment with the goal of training large language models for enterprise clients. However, the startup struggled to launch successful commercial products despite its promising start. Amazon’s acquisition of Adept’s talent and technology raises questions about the terms of the deal and potential implications for the AI market.
While Amazon, Adept, and the FTC have declined to comment on the specifics of the inquiry, the regulatory agency’s interest in AI partnerships is evident. The FTC has also been investigating similar moves by other tech giants, such as Microsoft’s acquisition of Inflection AI and its impact on competition in the AI sector.
As the FTC continues to scrutinize the activities of Big Tech companies in the AI space, concerns about anti-competitive practices and market dominance remain at the forefront. The outcome of the FTC’s inquiry into Amazon’s deal with Adept could have far-reaching implications for the future of AI innovation and competition in the tech industry.