Nations Are Investing Billions on National State-Controlled AI Technologies – Is It a Big Waste of Money?
Worldwide, governments are channeling enormous sums into what is known as “sovereign AI” – building national AI systems. From the city-state of Singapore to the nation of Malaysia and the Swiss Confederation, countries are competing to create AI that grasps regional dialects and cultural nuances.
The International AI Competition
This initiative is a component of a broader international contest spearheaded by large firms from the US and the People's Republic of China. While companies like OpenAI and Meta invest enormous resources, developing countries are additionally placing independent investments in the AI landscape.
However amid such vast sums in play, can smaller nations achieve meaningful gains? As noted by a specialist from a well-known policy organization, Except if you’re a wealthy government or a major corporation, it’s a substantial challenge to create an LLM from the ground up.”
National Security Issues
Numerous countries are unwilling to use external AI models. Across India, for instance, US-built AI solutions have occasionally been insufficient. A particular case involved an AI agent used to teach learners in a remote area – it communicated in English with a pronounced US accent that was hard to understand for native users.
Then there’s the state security aspect. In the Indian military authorities, employing particular foreign models is considered unacceptable. As one entrepreneur explained, “It could have some arbitrary data source that might say that, such as, Ladakh is separate from India … Utilizing that specific system in a defence setup is a big no-no.”
He added, “I have spoken to people who are in security. They aim to use AI, but, setting aside certain models, they are reluctant to rely on Western technologies because details might go overseas, and that is totally inappropriate with them.”
Homegrown Initiatives
As a result, some countries are supporting national initiatives. One such initiative is in progress in India, where a company is attempting to develop a national LLM with government funding. This initiative has committed roughly a substantial sum to artificial intelligence advancement.
The expert imagines a system that is significantly smaller than leading models from Western and Eastern firms. He explains that India will have to offset the resource shortfall with expertise. “Being in India, we don’t have the luxury of investing massive funds into it,” he says. “How do we compete against say the $100 or $300 or $500bn that the America is pumping in? I think that is where the core expertise and the strategic thinking is essential.”
Regional Priority
In Singapore, a government initiative is backing AI systems developed in south-east Asia’s local dialects. These particular dialects – including Malay, Thai, Lao, Bahasa Indonesia, the Khmer language and more – are often inadequately covered in American and Asian LLMs.
I wish the people who are building these national AI models were aware of just how far and the speed at which the frontier is advancing.
A senior director involved in the project says that these systems are designed to enhance more extensive models, as opposed to replacing them. Tools such as ChatGPT and Gemini, he states, commonly find it challenging to handle regional languages and local customs – communicating in awkward the Khmer language, for instance, or recommending pork-based meals to Malay individuals.
Developing regional-language LLMs allows local governments to incorporate local context – and at least be “knowledgeable adopters” of a advanced tool developed in other countries.
He further explains, “I’m very careful with the concept national. I think what we’re aiming to convey is we want to be better represented and we wish to comprehend the features” of AI platforms.
Cross-Border Cooperation
Regarding countries attempting to establish a position in an intensifying worldwide landscape, there’s an alternative: join forces. Analysts associated with a well-known policy school recently proposed a public AI company distributed among a consortium of middle-income states.
They term the proposal “a collaborative AI effort”, in reference to the European effective strategy to create a alternative to a major aerospace firm in the mid-20th century. The plan would involve the formation of a government-supported AI organization that would pool the resources of several countries’ AI projects – including the United Kingdom, Spain, the Canadian government, Germany, Japan, the Republic of Singapore, South Korea, France, Switzerland and Sweden – to establish a viable alternative to the US and Chinese giants.
The main proponent of a study describing the concept notes that the idea has gained the attention of AI leaders of at least a few countries so far, along with several state AI firms. Although it is now targeting “mid-sized nations”, emerging economies – the nation of Mongolia and the Republic of Rwanda among them – have additionally shown curiosity.
He explains, “Nowadays, I think it’s just a fact there’s diminished faith in the assurances of the existing American government. Individuals are wondering for example, is it safe to rely on any of this tech? In case they decide to