A new report from the Institute for Public Policy Research warns that Big Tech’s hold over core digital infrastructure could limit the UK’s ability to capture the economic gains it expects from artificial intelligence, according to The Register. The report’s argument is that AI competition is being built on top of markets that are already highly concentrated. The IPPR points to a small group of companies controlling key layers of the digital economy in the UK, then warns that AI risks following the same pattern unless policymakers take stronger pro-competition action. The Register reports that a survey conducted for the IPPR found 79% of UK businesses that rely on digital platforms are concerned about Big Tech using its dominance to constrain competition. The IPPR says those businesses rank platform dominance as a bigger growth constraint than access to finance or access to talent. The report names specific pressure points. According to The Register’s account of the IPPR findings, Google handles more than 90% of UK internet searches. In cloud services, Microsoft and Amazon Web Services each account for 30–40% of customer spending, while Google accounts for another 5–10%. The report also notes that Microsoft is being investigated over its position in business software. The policy target is the UK’s Competition and Markets Authority. The Register says the IPPR is sharply critical of the regulator, arguing that it has not done enough to create conditions for challengers to thrive. The report cites recent CMA turnover and says the government’s 2025 instruction to prioritize inward investment was widely read as a signal to take a softer line on large technology companies. The IPPR’s recommendation, as reported by The Register, is that the government issue an updated strategic steer for the CMA that encourages faster and more assertive enforcement. The report argues for interventions that do more to support growth and sovereignty, rather than relying on voluntary commitments where there is evidence of harm. The AI stakes are the reason the argument now matters beyond conventional competition policy. The UK government has made AI central to its economic plans, including through the AI Opportunities Action Plan introduced at the start of last year. But the IPPR warns that investment in domestic AI companies could be weakened if those companies remain heavily dependent on infrastructure controlled by overseas technology giants. The Register also reports the IPPR’s view that the AI infrastructure market is already concentrated, with Nvidia dominant in accelerators and hyperscale cloud providers controlling much of the access to AI infrastructure. A separate Axios item frames Big Tech’s AI spending at roughly $3 trillion across seven companies including Google and Microsoft, underscoring the scale of incumbent capital behind the sector, though the provided Axios summary does not specify the time frame or accounting basis. Who benefits: The status quo benefits incumbent platform and infrastructure providers named in the report, including Google, Microsoft, AWS and Nvidia, insofar as UK businesses continue to rely on their search, cloud, software and AI infrastructure layers. Who's exposed: UK businesses that depend on digital platforms are exposed to dominance, concentration and limited alternatives. Home-grown AI firms are particularly exposed if their products require cloud or accelerator access controlled by overseas incumbents.