Generative AI witnessed a spectacular rise. Some figures illustrate the pace at which this technology has disrupted the status quo are in order. To reach the first 100 million users, it took telephone 75 years, the mobile phone 16 years, the web seven years, Facebook four years and Instagram three years. ChatGPT amazingly took just two months to reach this number of 100 million users. It shows its rapid adoption.

Disruptive technologies always dislodge the entrenched incumbents. The existing companies in such a situation would like to have partnership with AI startups. It could be anticompetitive. Policy makers must be vigilant here. In addition, Big Tech has an advantage in AI due to its access to specialized hardware of GPUs.

In the beginning, the approach of existing players is to be open source to attract customers. Ultimately, they restrict access to their systems. They use open-source projects to their benefit by appropriating the competitively sensitive data. Thus, they perpetuate their centralized power.

There are ‘killer acquisitions’ and ‘reverse killer acquisitions.’ These tie-ups dodge the existing merger requirements. Microsoft has no shareholding in OpenAI. Instead, it can receive a share of its profits from a specific subsidiary of OpenAI..