Sovereign Al takes off as countries try to avoid overdependence on superpowers

As China and the U.S. race to dominate artificial intelligence, countries are increasingly wary of becoming overly dependent on the superpowers for a technology that could profoundly affect their economic competitiveness and national security.

- Jiyoung Sohn

In response, a select few are seeking to build out their own AI capabilities and become leaders alongside the U.S. and China.

South Korea, with its rich and advanced tech sector, is a strong believer in the idea that smaller countries can succeed in developing a wide degree of autonomy in AI—a buzzy concept now known as “sovereign AI.”

"In the age of artificial intelligence, falling behind by one day could mean falling behind by a whole generation," South Korean President Lee Jae Myung said earlier this month in an address to lawmakers.

"We are currently facing an urgent, life-or-death crisis."

The overall goal of sovereign AI is to build out a localized computing infrastructure and potentially possess domestic capabilities in everything from large language model development and chip-making to cloud storage and engineering talent. Many also hope to regulate and manage the data used and generated by AI on their own terms.

As one of the few countries outside the U.S. or China able to attempt a wide degree of AI autonomy, South Korea has emerged as a test case for sovereign AI. It has deep pockets, semiconductor know-how from homegrown firms like Samsung Electronics and SK Hynix, plus software expertise. And Lee, who took office in June, has provided the political willpower, pushing to triple the government's budget for AI development for next year to the equivalent of roughly $6.8 billion.

The U.S. and China are the current leaders in AI technology. Beijing often expresses a desire for tech self-reliance, though it hasn't yet focused much on exporting its best offerings. Meanwhile, the Trump administration has pledged to promote exports of a "full-stack" American AI technology package to allies, which includes Nvidia’s high-end chips and software.