Technology Concentration Risk: What CEOs and CIOs Need to Know About AI, Cloud, Chips, and Vendor Dependency

This article explores technology concentration risk, distinguishing it from simple vendor lock-in. It explains how enterprises can face hidden dependencies on cloud platforms, AI models, GPU ecosystems, and other control points, leading to correlated failures and loss of strategic flexibility. The piece emphasizes that the goal is not maximum vendor diversity but deliberate concentration with visible dependencies, measurable exit times, and tested recovery paths. It provides a framework for executives to assess and manage these risks, including considerations for business continuity, negotiating leverage, and digital sovereignty. The article is relevant for technology leaders seeking to build resilient IT strategies in the age of AI and cloud.