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Governance of artificial
intelligence and the interplay
with competition policy
OECD Competition Committee
12 June 2024
Juraj Čorba
Chair, OECD Working Party on
Artificial Intelligence Governance
(AIGO)
1. Background: What is AI?
A variety of systems and policy implications
Myriad of applications of AI systems
What is Artificial Intelligence?
In November 2023, the OECD Council adopted an updated definition of an “AI system”:
An AI system is:
“A machine-based system that,
for explicit or implicit objectives,
infers, from the input it receives,
how to generate outputs such as predictions,
content, recommendations, or decisions
that can influence physical or virtual
environments.
Different AI systems vary in their levels of
autonomy and adaptiveness after deployment.”
BUILDING AI SYSTEM
USING AI SYSTEM
2. The OECD AI Principles
Respect for the rule of law,
human rights and democratic values,
including fairness and privacy
Transparency and Explainability
Robustness, Security, and Safety
Accountability
Inclusive growth, sustainable
development and well-being
5 values-based
principles for trustworthy,
human-centric AI
5 recommendations
for national policies, for AI
ecosystems to benefit societies
Investing in AI research and development
Fostering an inclusive AI-enabling
ecosystem
Shaping an enabling interoperable
governance and policy environment for AI
Building human capacity and preparing
for labour market transformation
International co-operation for trustworthy AI
The Revised OECD AI Principles
Shaping an enabling interoperable governance
and policy environment for AI (Principle 2.3)
[…]
Governments should review and adapt, as
appropriate, their policy and regulatory
frameworks and assessment mechanisms as they
apply to AI systems to encourage innovation and
competition for trustworthy AI.
3. Key parts of the value chain: what is
required to successfully develop and
deploy AI models?
The AI system lifecycle
AI actors
those who play an active role in the AI system lifecycle, including organisations and individuals that
deploy or operate AI.
AI system
lifecycle
Human
resources
provider
Government
agency
Marketing
agency
Sales
department
Application
developer
Law firm
Data owner Data labeller
Investor
Dataset
curator
Chip
manufacturer
Illustrative example of actors
involved in the development
and use of AI
Suppliers of AI knowledge
& resources
Actors actively
involved in the
design,
development,
deployment,
and operation
of AI systems
Users of the AI system
Understanding the AI value chain
Investment
Key inputs to develop AI – “AI enablers”
Research
(Programming) skills /
skilled labour
Research
AI skills migration and penetration by country
(OECD members, 2022)
(average 2015-2022)
VC investments in AI
*generative adversarial network, generative AI, text generation, image generation, audio generation and generative model.
Investments in generative AI* (cumulative)
Investments in AI (cumulative)
VC investments in data start-ups
(cumulative)
VC investments in AI compute start-ups
(cumulative)
Computational complexity and training costs
are rising
Average number of parameters of new AI models from Hugging Face Average training cost of new AI models from Hugging Face
Source: OECD.AI (2024), visualisations powered by JSU using data from Hugging Face, accessed on 22/4/2024
New models keep being developed
Source: OECD.AI (2024), visualisations powered by JSU using data from Hugging Face, accessed on 22/4/2024
Next steps
•More nuanced understanding of market
dynamics and AI actors is needed
•Monitoring (market) developments in such AI
enablers will be key to a comprehensive
understanding of competition in AI
•Cross-disciplinary exchanges can foster more
targeted policy responses
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Artificial Intelligence, Data and Competition – ČORBA – June 2024 OECD discussion

  • 1. Governance of artificial intelligence and the interplay with competition policy OECD Competition Committee 12 June 2024 Juraj Čorba Chair, OECD Working Party on Artificial Intelligence Governance (AIGO)
  • 3. A variety of systems and policy implications Myriad of applications of AI systems
  • 4. What is Artificial Intelligence? In November 2023, the OECD Council adopted an updated definition of an “AI system”: An AI system is: “A machine-based system that, for explicit or implicit objectives, infers, from the input it receives, how to generate outputs such as predictions, content, recommendations, or decisions that can influence physical or virtual environments. Different AI systems vary in their levels of autonomy and adaptiveness after deployment.” BUILDING AI SYSTEM USING AI SYSTEM
  • 5. 2. The OECD AI Principles
  • 6. Respect for the rule of law, human rights and democratic values, including fairness and privacy Transparency and Explainability Robustness, Security, and Safety Accountability Inclusive growth, sustainable development and well-being 5 values-based principles for trustworthy, human-centric AI 5 recommendations for national policies, for AI ecosystems to benefit societies Investing in AI research and development Fostering an inclusive AI-enabling ecosystem Shaping an enabling interoperable governance and policy environment for AI Building human capacity and preparing for labour market transformation International co-operation for trustworthy AI The Revised OECD AI Principles
  • 7. Shaping an enabling interoperable governance and policy environment for AI (Principle 2.3) […] Governments should review and adapt, as appropriate, their policy and regulatory frameworks and assessment mechanisms as they apply to AI systems to encourage innovation and competition for trustworthy AI.
  • 8. 3. Key parts of the value chain: what is required to successfully develop and deploy AI models?
  • 9. The AI system lifecycle AI actors those who play an active role in the AI system lifecycle, including organisations and individuals that deploy or operate AI.
  • 10. AI system lifecycle Human resources provider Government agency Marketing agency Sales department Application developer Law firm Data owner Data labeller Investor Dataset curator Chip manufacturer Illustrative example of actors involved in the development and use of AI Suppliers of AI knowledge & resources Actors actively involved in the design, development, deployment, and operation of AI systems Users of the AI system Understanding the AI value chain
  • 11. Investment Key inputs to develop AI – “AI enablers” Research (Programming) skills / skilled labour
  • 13. AI skills migration and penetration by country (OECD members, 2022) (average 2015-2022)
  • 14. VC investments in AI *generative adversarial network, generative AI, text generation, image generation, audio generation and generative model. Investments in generative AI* (cumulative) Investments in AI (cumulative)
  • 15. VC investments in data start-ups (cumulative)
  • 16. VC investments in AI compute start-ups (cumulative)
  • 17. Computational complexity and training costs are rising Average number of parameters of new AI models from Hugging Face Average training cost of new AI models from Hugging Face Source: OECD.AI (2024), visualisations powered by JSU using data from Hugging Face, accessed on 22/4/2024
  • 18. New models keep being developed Source: OECD.AI (2024), visualisations powered by JSU using data from Hugging Face, accessed on 22/4/2024
  • 19. Next steps •More nuanced understanding of market dynamics and AI actors is needed •Monitoring (market) developments in such AI enablers will be key to a comprehensive understanding of competition in AI •Cross-disciplinary exchanges can foster more targeted policy responses