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Open Markets Institute: AI and Market Concentration

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Published by the Open Markets Institute, a competition policy think tank; relevant for understanding structural and antitrust dimensions of AI governance, particularly around compute and platform concentration risks.

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Importance: 52/100policy briefanalysis

Summary

This expert brief from the Open Markets Institute examines how the rapid development of AI technologies is accelerating market concentration, allowing a small number of dominant tech companies to entrench their power across critical infrastructure, data, and compute resources. It analyzes the antitrust and structural risks posed by AI-driven consolidation and argues for regulatory intervention to prevent monopolistic control over AI systems.

Key Points

  • AI development is reinforcing the dominance of a handful of large tech firms through control of compute, data, and distribution channels.
  • Market concentration in AI poses risks to competition, innovation, and democratic accountability over critical digital infrastructure.
  • The brief calls for antitrust enforcement and structural remedies to prevent monopolistic control of foundational AI systems.
  • Concentration in AI supply chains (chips, cloud, models) creates dependencies that entrench incumbent power and raise barriers to entry.
  • Authors argue that without regulatory action, AI could become a mechanism for further consolidation rather than a democratizing technology.

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 Expert Brief - AI and Market Concentration

 

 

 

 
 
 

 

 
 
 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 

 
 
 
 
 

 
 
 
 

 
 

 

 

 
 
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 The Open Markets Institute and the Center for Journalism and Liberty released a pivotal new expert brief, AI and Market Concentration, outlining how artificial intelligence is becoming increasingly monopolized and proposing actionable policy solutions to ensure AI serves the public interest.

 Co-authored by Max von Thun (Director, Open Markets Europe), Dr. Courtney Radsch (Director, Center for Journalism and Liberty), and Michelle Nie (EU Tech Policy Fellow), the brief examines the rising dominance of Big Tech in the AI ecosystem. It investigates how high entry barriers and anticompetitive practices threaten competition, privacy, innovation, security, and sustainability.

 Policy Recommendations to Build a Fair AI Ecosystem
 To address these threats, the brief outlines a comprehensive set of policy tools that governments in the U.S., EU, and UK can use to foster an open,

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