Survey Reveals Widespread Platform Concentration
A first-of-its-kind consumer survey conducted by Kantar and commissioned by a group of Indian companies has found that a small number of global platforms increasingly dominate how urban Indian consumers search, communicate, navigate, store information, and access digital services. Based on responses from 500 digitally active users across India, the survey highlights concerns about switching costs, visibility of alternatives, pricing, and the growing influence of integrated digital ecosystems.
Near-Universal Usage of Single Providers
Usage patterns within the survey sample indicate near-universal reliance on a single provider for foundational services. According to the survey, 100% of respondents use Google for search and personal email, 98% use Chrome for web browsing, 97% use Google Maps for navigation, and 96% use Google Drive for cloud storage. For video communication, WhatsApp (94%) and Google Meet (77%) are the most used apps. These patterns suggest that day-to-day digital activity is anchored to a narrow set of incumbents.
High Switching Costs Entrench Incumbents
Respondents who attempted to switch services reported significant practical barriers. The survey found that 55% had difficulty transferring data across platforms, 48% said having contacts on another platform made switching harder, and 35% reported losing access to prior purchases or subscriptions. Notably, 42% of respondents said they find integrated ecosystems limiting or prefer to avoid them, highlighting a trade-off between usability and autonomy.
Self-Preferencing and Platform Gatekeeping
Consumer awareness of platform promotion is high. The survey indicates that 82% of respondents frequently notice platform-owned products or services promoted in search results, recommendations, or app stores. Additionally, 76% report features or accessories working better within the same brand ecosystem, and 64% report receiving suggestions to buy additional products from the same company. Only 4% reported experiencing none of these behaviors. This suggests that many consumers perceive large platforms as occupying a gatekeeping position that influences discovery and consumption patterns.
Pricing and Consumer Welfare Concerns
Consumer awareness of app store commissions is widespread, with 85% aware that app stores charge developers high commissions. Furthermore, 95% believe these commissions increase the prices consumers pay for apps and digital services. The survey also found that 60% of respondents reported experiencing large tech companies offering free or cheap services initially before raising prices significantly, with another 33% reporting this sometimes. These findings reflect consumer concerns that market power in digital ecosystems may translate into higher long-term costs.
Structural Barriers to Indian Alternatives
Despite policy focus on digital sovereignty, respondents see structural barriers to adopting Indian alternatives. The survey found that 57% attribute foreign app dominance to network effects (existing user bases), 62% point to first-mover advantage and stronger visibility in search and app stores, and 58% said they would consider switching if data could transfer smoothly, and 55% if Indian apps were easier to find in search and app stores. Notably, only 38% felt Indian alternatives were not as good, suggesting the gap is perceived as structural rather than a matter of product quality.
AI-Led Consolidation May Further Entrench Incumbents
The emergence of AI-driven interfaces may further entrench incumbent advantages. According to the survey, 45% of respondents use pre-installed AI assistants (such as Siri, Google Assistant, or Alexa) either primarily or alongside other options, and only 16% report switching away from the default. Additionally, 87% say they typically rely on the AI-generated answer shown in search and find it usually sufficient, rather than clicking through to external websites, raising questions about traffic to independent publishers and how AI-mediated discovery may shape competition.
Industry Voices Call for Regulation
Commenting on the findings, Mr. Murugavel, Founder and CEO of Bharat Matrimony, said, "As a founder who has spent over two decades building a consumer internet business in India, I firmly believe that India has the talent and ambition to build its own thriving homegrown platforms at par with global ones. The survey findings highlight why that remains such a challenge. Consumers are not the beneficiaries of concentration. They are paying the price through higher costs, limited portability of their data, and fewer meaningful choices." He added, "For entrepreneurs, when a handful of global platforms control discovery, app store visibility, and default placement, even the best Indian products struggle to reach users. It is not that consumers do not want alternatives, they just find it difficult to find them and harder to switch to."
Mr. Snehil Khanor, Founder of Truly Madly, echoed these sentiments, stating, "India's digital ecosystem cannot thrive on talent alone when critical gateways are controlled by a few. This is where regulation that levels the playing field by curbing unfair practices becomes important. We need to give Indian founders a fair chance to compete and consumers the homegrown innovation and choice they have clearly said they want."
Policy Implications and the Case for Ex-Ante Regulation
The findings come as India considers the Digital Competition Bill, which proposes a shift from reactive (ex-post) enforcement to proactive (ex-ante) regulation for large digital gatekeepers. Measures under consideration include restrictions on self-preferencing, mandates for interoperability and data portability, and limits on anti-competitive bundling. These are increasingly discussed as tools to support competition in digital markets and safeguard consumer choice.
Consumer Alignment with Pro-Competition Outcomes
The survey indicates strong consumer support for pro-competition outcomes. Among respondents, 86% expect improved quality and innovation with more competition, 66% want easier switching without losing data, and 58% anticipate lower prices. The survey is intended as a first probe focused on a digitally active, higher-engagement consumer segment. The patterns identified are strong enough to warrant deeper and larger-scale examination across broader consumer groups. As India's digital economy continues to scale, the broader challenge for policymakers will be ensuring that growth and convenience do not come at the cost of competition.
