Investigator:
Charles Ho Wang Mak

Abstract:
This research project examines the competition law implications of autonomous AI agents in the European Union (‘EU’) and the United States (‘US’), with particular focus on the regulatory and enforcement challenges arising from algorithmic decision-making that operates without direct human oversight. Building on my prior work addressing blockchain-enabled collusion, AI-driven market dominance, and digital platform governance, this project investigates the next frontier: autonomous systems capable of negotiating prices, coordinating market behavior, and optimizing commercial strategies independently of human instruction. The project analyzes three core issues. First, it considers the potential for autonomous AI agents to facilitate tacit or explicit collusion in ways that fall outside the reach of existing antitrust frameworks. Where traditional competition law requires evidence of human agreement or concerted practice, autonomous agents may arrive at collusive outcomes through self-learning optimization, raising fundamental questions about the attribution of liability. Second, the project examines the structural conditions that enable algorithmic collusion, including market transparency, data concentration, and the role of shared algorithmic infrastructure. Third, it evaluates the adequacy of current EU and US competition law doctrines in addressing conduct that is neither purely unilateral nor the product of conventional agreement.

To address these challenges, the project proposes a tripartite approach. First, it recommends that competition authorities in both jurisdictions develop interpretive guidance on the application of cartel and abuse of dominance provisions to autonomous agent conduct, clarifying the boundaries of liability where human intent is absent or attenuated. Second, it advocates for the creation of regulatory sandboxes and technical auditing mechanisms that enable authorities to examine algorithmic behavior in controlled environments before enforcement action. Third, it calls for sustained transatlantic cooperation between the EU and US to establish shared principles for the regulation of autonomous agents, recognizing that such systems operate across borders and resist jurisdiction-specific remedies.
By situating the analysis within the broader trajectory of emerging technology and competition law, this project seeks to offer policymakers and legal practitioners a coherent framework for understanding and responding to the distinctive risks posed by autonomous AI agents. It aims to contribute to the ongoing transatlantic dialogue on competition policy by providing practical recommendations that balance the promotion of innovation with the preservation of competitive markets and consumer welfare.