29.05.2025 | Hungarian competition authority
The Hungarian competition authority, known as GVH, has achieved a significant commitment from Microsoft in a recent investigation regarding the company's AI-based services launched in February 2023. The investigation aimed to determine whether Microsoft adequately informed Hungarian users about its new AI functionalities integrated into the Bing search engine.
As a result of the GVH's actions, Microsoft has initiated a comprehensive commitment to enhance its AI systems using a dataset of 10 billion Hungarian words. This dataset will be prepared and made accessible for other developers, significantly improving the capabilities of AI applications in the Hungarian language.
The GVH began its investigation in July 2023 against Microsoft Ireland Operations Limited, suspecting unfair practices related to the new Bing service. The authority found that Microsoft may not have provided sufficient information to consumers regarding the AI service.
In addition to the investigation, the GVH conducted a market analysis in 2024 to assess the impact of AI on market competition and consumer decision-making. The analysis revealed that global tech companies offer the same products and services in Hungary as in other countries, without specific adaptations for the Hungarian market. This highlights the importance of developing AI systems tailored to smaller languages like Hungarian for data sovereignty and cultural identity.
While the GVH did not find any legal violations in its proceedings against Microsoft, it noted that the company's user information was often lengthy, fragmented, and sometimes only available in English. However, Microsoft made changes to its practices following the investigation and submitted a comprehensive commitment package to improve the understanding and capabilities of AI in the Hungarian language.
Microsoft's commitments include expanding its AI applications in Hungarian, creating a database of at least 10 billion Hungarian words, and making this data available for other systems. The company also pledged to actively communicate these measures and provide educational initiatives for Hungarian public officials, SMEs, and consumers to better understand AI's opportunities and risks.
The GVH will rigorously monitor compliance with these commitments, warning that failure to meet obligations could result in significant fines. The authority has been increasingly scrutinizing the market behavior of major global tech companies, aiming to protect Hungarian consumers and businesses.
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