Admits Google’s popularity, points to deals hinged on “exclusive” use.
Microsoft’s chief executive Satya Nadella testified earlier this week during the Department of Justice’s (DOJ) trial against Google, answering questions about the current climate among the tech giants of the United States. Nadella said the race to develop artificial intelligence (AI) holds the immediate focus of the tech sector, and companies like Google and Microsoft are paying millions to buy images and videos to feed their AI algorithms.
The Justice Department started the trial on September 12, alleging that Google illegally orchestrated business dealings to make Google the primary search engine for web browsers. This is the largest antitrust case the department has brought since 1998, and Nadella said during his testimony that the current power struggle reminds him of the dynamics that sparked that earlier case.
“When I am meeting with publishers now, they are saying, ‘Google’s going to write this check to us, and it’s going to be exclusive and you have to match it,’” Nadella said. Companies are vying for exclusive rights to the content necessary to train their AI. Microsoft is having trouble keeping up with Google’s spending power and negotiation speed.
As the Lord Leads, Pray with Us…
- For Justice Department attorneys as they argue the antitrust case against Google.
- For Attorney General Merrick Garland as he sets priorities for the department’s enforcement of laws.
- For U.S. officials in various federal agencies who seek to prevent monopolies in the marketplace.
Sources: Reuters, NY Times
