The AI Market Is an Architecture of Dependencies
The Federal Trade Commission’s 2024 inquiry into partnerships among major cloud providers and generative-AI developers was often framed as a question of investment concentration: would multibillion-dollar relationships among Microsoft and OpenAI, Amazon and Anthropic, and Google and Anthropic distort competition?
The deeper question is architectural. Frontier AI developers need capital, specialized compute, storage, networking, distribution, engineering support, and access to enterprise customers. Cloud providers possess those complements at scale. Partnerships can accelerate innovation by joining them. They can also create dependencies that influence which models reach users, which clouds capture workloads, which startups can compete, and who exercises practical control over supposedly independent firms.
Competition cannot be inferred from the number of logos. It must be analyzed through the control points of the AI stack.