Competition Law and Artificial Intelligence: Solution or Threat

Abstract

This article discusses the solutions and threats posed by artificial intelligence in the context of business competition law. The findings of this article indicate that artificial intelligence presents both challenges and opportunities in this field. While artificial intelligence can enhance competition by increasing efficiency and fostering innovation, it raises concerns about market dominance and collusion. Consequently, the KPPU must adapt to these complexities to ensure fair competition and protect consumers. Balancing innovation with competitive enforcement is essential to leveraging the benefits of artificial intelligence while mitigating potential threats as artificial intelligence becomes more prevalent in the market. Based on these findings, the authors recommend that the KPPU increase its oversight of artificial intelligence-related activities to ensure compliance with business competition laws. The KPPU should look for evidence of anti-competitive behavior driven by artificial intelligence, such as price collusion through price monitoring and algorithmic matching software, by amending Law No. 5 of 1999. The KPPU enforces laws and regulations to address the impact of artificial intelligence on business competition law. For instance, the European Union’s Digital Markets Act empowers the European Commission to request algorithms, data about their testing, and explanations about their use from companies designated as competition gatekeepers.