This paper discusses the latest developments in Artificial Intelligence (AI), particularly generative AI, which may have a positive impact on many markets. While it is important for markets to remain competitive to ensure widespread benefits, the lifecycle of generative AI is still in development. The paper primarily examines three stages: training foundation models, fine-tuning, and deployment. It is still too early to determine how competition will evolve in the generative AI sector, but there appear to be some competitive risks that warrant attention, such as linkages within the generative AI value chain, including existing markets, and potential barriers to accessing key inputs like quality data and computing power. Some competition authorities and policymakers are taking steps to monitor market developments and may need to utilize a range of advocacy and enforcement tools at their disposal. Furthermore, cooperation can play an important role in helping authorities effectively maintain their knowledge and expertise.

This paper discusses recent developments in Artificial Intelligence (AI), particularly generative AI, which could positively impact many markets. While it is important that markets remain competitive to ensure their benefits are widely felt, the lifecycle for generative AI is still developing. This paper focuses on three stages: training foundation models, fine-tuning and deployment. It is too early to say how competition will develop in generative AI, but there appear to be some risks to competition that warrant attention, such as linkages across the generative AI value chain, including from existing markets, and potential barriers to accessing key inputs such as quality data and computing power. Several competition authorities and policy makers are taking actions to monitor market developments and may need to use the various advocacy and enforcement tools at their disposal. Furthermore, co-operation could play an important role in allowing authorities to efficiently maintain their knowledge and expertise.