July 13, 2025, 6:18 am | Read time: 2 minutes
A massive database, immense market power–and a technology with explosive potential: German antitrust authorities see new dependencies emerging in the development of artificial intelligence. The Federal Cartel Office now clearly explains who is being closely monitored and why.
The German Federal Cartel Office is focusing on the role of major U.S. tech companies in the development of AI systems. Companies like Google, Amazon, and Meta are in the spotlight. Microsoft is also being considered.
Federal Cartel Office Sees Danger of New Dependencies Through AI
The Federal Cartel Office plans to scrutinize more closely how large U.S. technology companies are advancing the development of artificial intelligence and what impact this has on competition. “There is an enormous risk of dependencies here,” said Cartel Office President Andreas Mundt on Wednesday in Bonn. The agency’s analysis particularly highlights Google, Amazon, and Meta—all three possess vast amounts of data essential for training AI systems. Microsoft is also equipped with significant technical resources.
Mundt warned against an excessive concentration of power and knowledge within individual corporations, which could negatively affect European sovereignty. He emphasized that politics and regulatory authorities must work together to counteract a one-sided dependency on U.S. companies.
Strengthening European Control Over Digital Corporations
For some time now, the Federal Cartel Office has aimed to create fair market conditions in the digital economy in collaboration with other competition authorities, including the EU Commission. The Bonn-based agency has identified Amazon, Apple, Google (Alphabet), Microsoft, and Meta as having an overarching market significance for competition.
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This assessment has already been confirmed in individual cases by the courts: In the case of Apple, the Federal Court of Justice upheld the decision of the Cartel Office. A similar confirmation exists for Amazon.
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New Powers for More Effective Action
Since 2021, the Cartel Office has had expanded legal powers to act earlier and more effectively against market-dominating companies in the digital economy. With the new tools, the agency can more easily prohibit certain competition-threatening behaviors.
The law provides several criteria for determining overarching market significance. These include a company’s position in various markets, its financial strength, and its access to competition-relevant data. These factors are considered crucial, especially in AI development.
With material from Reuters