GPTs and digital superintermediaries: dynamics, dilemmas, dangers of generative AI – a conceptual framework
The arms race in generative artificial intelligence and artificial intelligence has transformed digital markets, with artificial-intelligence-powered platforms projected to drive market growth to nearly $740 billion by 2030. However, scholarly understanding of how these technologies affect platform...
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| Format: | Article |
| Language: | English |
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University of Johannesburg
2025-05-01
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| Series: | Communicare |
| Subjects: | |
| Online Access: | https://journals.uj.ac.za/index.php/jcsa/article/view/3140 |
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| Summary: | The arms race in generative artificial intelligence and artificial intelligence has transformed digital markets, with artificial-intelligence-powered platforms projected to drive market growth to nearly $740 billion by 2030. However, scholarly understanding of how these technologies affect platform competition remains limited. This article explores how generative pre-trained transformers influence digital superintermediaries’ market power and examines whether generative artificial intelligence capabilities reinforce or challenge existing platform dominance. Using a conceptual literature analysis of platforms and artificial intelligence development patterns, the research uncovers a critical paradox: While generative pre-trained transformers represent revolutionary advancement, they create novel forms of artificial intelligence market concentration. The findings reveal how digital superintermediaries leverage artificial-intelligence-powered platforms through control over computational resources and data access, creating self-reinforcing cycles of artificial intelligence capability enhancement. This research demonstrates how artificial intelligence capabilities, particularly generative pre-trained transformers, create new mechanisms of market power consolidation, suggesting the need for innovative regulatory approaches that address the unique characteristics of generative artificial-intelligence-enhanced digital multisided platforms.
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| ISSN: | 0259-0069 2957-7950 |