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AI’s hype and antitrust problem is coming under scrutiny

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By illuminem briefings

· 2 min read


illuminem summarizes for you the essential news of the day. Read the full piece on MIT Technology or enjoy below:

🗞️ Driving the news: The FTC is intensifying its crackdown on the AI industry for deceptive claims and monopolistic practices
Recent actions target Big Tech firms dominating AI and cloud contracts and companies like IntelliVision and Evolv for overstating their technologies’ accuracy and fairness
Meanwhile, President-elect Trump’s pick for FTC chair, Gail Slate, signals continued antitrust scrutiny of tech giants

🔭 The context: Legislators like Elizabeth Warren are pushing for competition in Pentagon AI contracts, challenging Amazon, Microsoft, and Google’s dominance
Regulatory actions also reveal inflated claims by AI security firms, with FTC mandates aiming to curb these practices
The evolving FTC leadership under Trump could recalibrate antitrust priorities

🌍 Why it matters for the planet: AI’s expanding role in defense and security raises ethical and environmental concerns, especially given its resource-heavy operations
Transparency and accountability in AI development are critical for sustainable and equitable technology use

⏭️ What's next: The FTC’s direction under Gail Slate may blend Trump-era concerns over censorship with ongoing competition enforcement
Further scrutiny of AI’s military applications and tech monopolies is likely, shaping the landscape for innovation and regulation

💬 One quote: “The way that the big get bigger in AI is by sucking up everyone else’s data and using it to train and expand their own systems,” – Senator Elizabeth Warren

📈 One stat: Evolv's AI failed to detect a 7-inch knife in a 2022 school stabbing incident, exposing limitations in its advertised capabilities

Click for more news covering the latest on corporate governance

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