Nations Are Allocating Billions on Their Own State-Controlled AI Technologies – Is It a Major Misuse of Resources?

Internationally, governments are pouring hundreds of billions into the concept of “sovereign AI” – creating domestic machine learning systems. From Singapore to Malaysia and the Swiss Confederation, countries are vying to develop AI that comprehends regional dialects and cultural nuances.

The International AI Arms Race

This movement is part of a broader worldwide competition spearheaded by large firms from the United States and China. While companies like OpenAI and Meta allocate substantial resources, developing countries are also placing sovereign bets in the AI field.

However amid such tremendous amounts involved, is it possible for less wealthy nations achieve notable benefits? As noted by an expert from a prominent thinktank, “Unless you’re a affluent government or a big firm, it’s a significant burden to build an LLM from the ground up.”

Security Considerations

Numerous states are hesitant to depend on external AI technologies. Across India, for instance, American-made AI solutions have occasionally been insufficient. An illustrative case featured an AI assistant employed to teach pupils in a remote community – it spoke in the English language with a strong American accent that was nearly-incomprehensible for local users.

Additionally there’s the state security aspect. For India’s defence ministry, using particular international models is seen as inadmissible. According to a founder commented, There might be some arbitrary training dataset that might say that, such as, Ladakh is not part of India … Using that certain model in a military context is a big no-no.”

He continued, “I have spoken to people who are in security. They want to use AI, but, forget about particular tools, they don’t even want to rely on US platforms because data might go overseas, and that is completely unacceptable with them.”

Domestic Efforts

In response, some nations are backing national projects. One this initiative is underway in the Indian market, wherein an organization is working to create a domestic LLM with public support. This initiative has dedicated approximately $1.25bn to AI development.

The expert envisions a system that is significantly smaller than leading systems from US and Chinese corporations. He explains that the country will have to compensate for the financial disparity with skill. Located in India, we lack the option of pouring massive funds into it,” he says. “How do we contend with for example the enormous investments that the United States is pumping in? I think that is the point at which the key skills and the intellectual challenge is essential.”

Local Emphasis

Across Singapore, a state-backed program is backing language models educated in the region's local dialects. These languages – including Malay, Thai, the Lao language, Indonesian, the Khmer language and others – are frequently inadequately covered in US and Chinese LLMs.

I wish the experts who are building these national AI tools were informed of just how far and how quickly the leading edge is progressing.

An executive participating in the initiative says that these systems are designed to supplement bigger systems, instead of substituting them. Systems such as a popular AI tool and Gemini, he says, commonly find it challenging to handle native tongues and culture – communicating in stilted Khmer, for example, or recommending pork-based meals to Malay individuals.

Building local-language LLMs allows state agencies to code in local context – and at least be “smart consumers” of a sophisticated system built elsewhere.

He continues, I am cautious with the term independent. I think what we’re attempting to express is we aim to be more adequately included and we want to comprehend the capabilities” of AI platforms.

Multinational Partnership

Regarding nations trying to carve out a role in an escalating worldwide landscape, there’s another possibility: join forces. Analysts affiliated with a well-known university put forward a public AI company allocated across a consortium of emerging countries.

They refer to the project “Airbus for AI”, drawing inspiration from the European successful strategy to develop a rival to Boeing in the mid-20th century. Their proposal would see the creation of a state-backed AI entity that would pool the capabilities of different nations’ AI projects – for example the UK, the Kingdom of Spain, the Canadian government, Germany, the nation of Japan, the Republic of Singapore, South Korea, the French Republic, the Swiss Confederation and the Kingdom of Sweden – to create a competitive rival to the Western and Eastern major players.

The primary researcher of a report describing the concept notes that the concept has drawn the consideration of AI ministers of at least three states up to now, along with several sovereign AI companies. Although it is now focused on “middle powers”, emerging economies – Mongolia and Rwanda included – have also indicated willingness.

He comments, “Nowadays, I think it’s just a fact there’s reduced confidence in the assurances of this current American government. Individuals are wondering such as, is it safe to rely on these technologies? Suppose they opt to

Melanie Smith
Melanie Smith

Digital marketing specialist with over 10 years of experience, passionate about helping businesses thrive online through data-driven strategies.