Antitrust

AIAI-generated summary A lawsuit alleges McDonald's Corp. improperly used an algorithmic pricing tool to pressure franchise restaurants to use the system, which supposedly resulted in higher menu prices. The proposed class action is expected to prompt similar AI price-fixing cases involving franchisee relationships and has drawn scrutiny from lawmakers including Sen. Elizabeth Warren and Rep. Becca Balint.

AIAI-generated summary MIT Sloan researchers Catherine Tucker and Rozhina Ghanavi released a research paper exploring how privacy rules will shape artificial intelligence competition and corporate consolidation. The researchers state that restrictions on training, inference, and sharing affect developers seeking realistic interactions to improve their products while favoring established firms.