The China-US tech confrontation heavily influences the development and deployment of AI by controlling access to critical AI inputs (e.g., semiconductors, talent, data), influencing AI research agendas, and driving separate AI ecosystems. This confrontation accelerates AI innovation in both countries, but also raises concerns about data security, algorithmic bias, and the potential for AI to exacerbate existing inequalities.
For the Government & Public Sector, this rivalry creates a need for strategic planning in AI adoption and defense against cyber threats. The National Security sector must consider how AI can be used for both offensive and defensive purposes, and how to protect critical infrastructure from AI-enabled attacks. China will likely prioritize state-sponsored AI development, and the US will face growing urgency to fund competitive AI initiatives.
Businesses need to evaluate their reliance on technologies sourced from either China or the US, particularly in AI. This includes auditing algorithms, data sources, and cloud infrastructure to ensure compliance with evolving regulations and potential supply chain disruptions. Redundancy and alternative sourcing strategies are crucial.