Amazon and Google: Cartel Office warns of great dependency

The head of the German Federal Cartel Office recently issued an urgent warning: Increasing dependence on technology giants such as Google and Amazon poses a serious threat to competition and consumers. This warning comes at a time when artificial intelligence (AI) is acting as a “fire accelerator” for the market power of these companies.

Warning from the top competition watchdog

In a recent statement, Andreas Mundt, the head of the German Federal Cartel Office, criticized the growing dominance of Google and Amazon and pointed out the dangers associated with such market power.

This is according to reports from t3n and the Tagesspiegel. Particular emphasis was placed on the role of artificial intelligence, which could further increase dependence on these technology giants. This development has far-reaching consequences for competition, innovation and consumers.

The growing dominance of Google and Amazon

Google and Amazon not only dominate e-commerce and online advertising, but also have a significant influence on many other areas of the digital market. This dominance leads to an increasing dependence on these platforms, both for businesses and consumers. Smaller companies often find it difficult to compete against the massive market power, which leads to a decline in competitive opportunities.

Artificial intelligence as a fire accelerator

The introduction and further development of artificial intelligence has the potential to further strengthen the existing market power of Google and Amazon. AI will be used to optimize data-driven business models and develop new services that will attract even more users to these platforms. Andreas Mundt emphasized that AI acts as a “fire accelerator” for the market power of these companies and further increases the already high barriers to market entry for new competitors.

Regulation and monitoring of Amazon and Google necessary

In view of these developments, the German Federal Cartel Office is calling for stronger regulation and monitoring of Google and Amazon’s activities. The aim is to ensure that competition is not stifled and that innovations continue to have a chance. This could be achieved through stricter requirements and regular reviews of the business practices of these companies.

An important wake-up call

The German antitrust chief’s warning about the growing dependence on Google and Amazon is an important wake-up call. The market power of these technology giants, reinforced by the use of artificial intelligence, poses a serious threat to competition.

In order to maintain innovation and diversity in the market, it is essential that regulatory measures are taken. Consumers should be aware of the challenges and follow developments closely. This issue will certainly continue to be the focus of discussions as the role of technology giants in our digital world becomes increasingly important.