Governments Are Spending Huge Amounts on Their Own State-Controlled AI Systems – Might This Be a Significant Drain of Money?

Internationally, states are channeling enormous sums into what is known as “sovereign AI” – building domestic artificial intelligence systems. From the city-state of Singapore to the nation of Malaysia and the Swiss Confederation, nations are vying to build AI that comprehends local languages and local customs.

The Global AI Arms Race

This trend is an element in a larger global competition led by tech giants from the US and the People's Republic of China. While firms like OpenAI and a social media giant allocate enormous funds, middle powers are likewise making independent bets in the AI field.

However amid such huge sums involved, can less wealthy states attain significant gains? As stated by a specialist from a prominent policy organization, If not you’re a wealthy government or a large corporation, it’s a substantial challenge to build an LLM from the ground up.”

National Security Issues

Many states are hesitant to use foreign AI technologies. Across India, for example, US-built AI systems have sometimes been insufficient. One case saw an AI assistant employed to educate pupils in a distant village – it interacted in English with a pronounced US accent that was nearly-incomprehensible for native listeners.

Then there’s the national security factor. In India’s security agencies, using certain foreign AI tools is seen as not permissible. As one founder commented, “It could have some arbitrary learning material that might say that, such as, a certain region is separate from India … Using that specific AI in a military context is a big no-no.”

He continued, I’ve consulted people who are in the military. They want to use AI, but, disregarding specific systems, they don’t even want to rely on American platforms because data might go overseas, and that is totally inappropriate with them.”

National Efforts

As a result, some countries are backing domestic initiatives. A particular this project is underway in the Indian market, in which a firm is striving to develop a national LLM with government support. This project has committed roughly a substantial sum to artificial intelligence advancement.

The founder foresees a model that is more compact than top-tier systems from Western and Eastern corporations. He notes that the nation will have to make up for the funding gap with skill. Based in India, we lack the option of allocating huge sums into it,” he says. “How do we contend with such as the hundreds of billions that the United States is pumping in? I think that is the point at which the key skills and the strategic thinking comes in.”

Local Priority

Across Singapore, a state-backed program is supporting language models developed in local local dialects. These tongues – for example Malay, the Thai language, the Lao language, Bahasa Indonesia, the Khmer language and additional ones – are commonly poorly represented in Western-developed LLMs.

I wish the individuals who are developing these national AI tools were conscious of how rapidly and how quickly the frontier is moving.

A senior director engaged in the program explains that these tools are created to complement more extensive AI, rather than replacing them. Systems such as ChatGPT and Gemini, he says, commonly struggle with local dialects and culture – speaking in stilted Khmer, as an example, or recommending pork-based meals to Malay consumers.

Building regional-language LLMs permits local governments to incorporate cultural nuance – and at least be “smart consumers” of a powerful system created overseas.

He continues, “I’m very careful with the term national. I think what we’re aiming to convey is we aim to be more adequately included and we wish to comprehend the capabilities” of AI systems.

Multinational Cooperation

Regarding countries seeking to find their place in an escalating worldwide landscape, there’s another possibility: collaborate. Researchers affiliated with a respected institution put forward a public AI company distributed among a consortium of emerging states.

They term the initiative “a collaborative AI effort”, in reference to Europe’s productive initiative to create a rival to a major aerospace firm in the mid-20th century. Their proposal would involve the creation of a state-backed AI entity that would combine the resources of various countries’ AI initiatives – such as the United Kingdom, the Kingdom of Spain, the Canadian government, the Federal Republic of Germany, Japan, the Republic of Singapore, the Republic of Korea, the French Republic, the Swiss Confederation and the Kingdom of Sweden – to create a strong competitor to the Western and Eastern giants.

The main proponent of a study describing the initiative states that the idea has attracted the consideration of AI leaders of at least a few countries so far, as well as several sovereign AI companies. While it is presently centered on “developing countries”, emerging economies – Mongolia and the Republic of Rwanda for example – have additionally expressed interest.

He elaborates, Currently, I think it’s just a fact there’s diminished faith in the assurances of this current American government. Experts are questioning for example, is it safe to rely on such systems? In case they choose to

Andrea Brock
Andrea Brock

A tech enthusiast and digital strategist with over a decade of experience in the industry.