An Artificial (and Risky) Approach to AI Mergers?

Draft legislation was published yesterday which will allow UK Ministers to intervene in mergers involving businesses (irrespective of their market share) “developing or producing anything designed for use in” artificial intelligence (AI) or “supplying services employing” AI.

On the face of it, the definition of AI used in the draft legislation looks remarkably broad and capable of applying to technology that would scarcely seem ground-breaking these days. The draft defines “artificial intelligence” to mean: “technology enabling the programming or training of a device or software to use or process external data (independent of any further input or programming) to carry out or undertake (with a view to achieving complex, specific tasks) (a) automated data analysis or automated decision making; or (b) analogous processing and use of data or information”.

There seem to be at least two issues with this proposed approach. First, even if the definition does accurately describe what AI is, the very broad terms used in the definition seem capable of applying to a wide range of computing technologies that might not commonly be understood to be AI at all. Second, given the prevalence (one might say ubiquity) of AI in the modern service sector, the intervention powers would appear to catch a very broad range of service providers.  

No doubt the UK Government will take the position that these powers are discretionary and that Ministers will decide on a case by case basis whether or not to intervene. However, the existence of the discretion will of itself create an additional risk for those contemplating mergers in the UK.