On 2 and 3 July, we held several leader discussions to explore the growing intersection between digital ecosystem concentration and geopolitical risk, and its implications for control, resilience and strategic choice. The concept of ecosystem concentration has been a significant concern for some time, but the political element has been recently elevated due to US Government action controlling the export of frontier AI models.
The discussions felt like they were part of a bigger picture, where digital operating models now mean that control and influence are weaker and, as a consequence, both risk appetite and risk acceptance are likely to increase.
In this blog, we explore the key themes emerging from these discussions and what they could mean for financial institutions as they navigate digital ecosystem concentration and political risk.
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