the health strategist
institute for strategic health transformation
& digital health
Joaquim Cardoso MSc.
Chief Research and Strategy Officer (CRSO),
Chief Editor and Senior Advisor
September 12, 2023
What is the message?
Germany plans to nearly double its public funding for AI research to close the skills gap with China and the United States.
While this investment is modest compared to the US’s spending, Germany aims to leverage its commitment to AI’s transparency and trustworthiness, as well as European cooperation, as competitive advantages.
Despite facing stiff competition, Germany seeks to strengthen its position in AI research and development.
One page summary:
Germany is set to significantly increase its investment in artificial intelligence (AI) research, aiming to close the skills gap with AI leaders China and the United States.
Research Minister Bettina Stark-Watzinger announced a plan to nearly double public funding for AI research to approximately one billion euros over the next two years.
This move is driven by the need to revitalize Germany’s economy following a recession and to address stiff competition in key industries like autos and chemicals from emerging electric vehicle manufacturers and high energy costs.
Compared to the United States, which spent $3.3 billion on AI research in 2022, Germany’s target appears modest. However, it signifies a considerable commitment to advancing AI capabilities within the country.
The plan includes the establishment of 150 new university labs dedicated to AI research, expanding data centers, and making complex public data sets more accessible for AI-driven research.
Despite being dwarfed by private AI spending in the United States, which reached $47.4 billion in 2022, and China’s $13.4 billion, Germany believes it can attract AI players by leveraging Europe’s emerging regulatory framework.
This framework prioritizes privacy and personal safety, offering a competitive advantage by ensuring AI systems are explainable, trustworthy, and transparent. Additionally, Germany sees potential for collaboration within the European Union to strengthen its position in the global AI landscape.
Stark-Watzinger recognizes that Germany has seen growth in AI startups, with the number doubling in 2023. However, the country still ranks ninth globally in this regard, highlighting the need for continued investment and development to catch up with global leaders.
The hope is that with increased public funding and a supportive regulatory environment, Germany can position itself as a significant player in the evolving AI landscape.
DEEP DIVE
This summary was written based on the article “Germany plans to double AI funding in race with China, US”, published by Reuters and written by Thomas Escritt, on August 23, 2023.
To read the full article, access https://www.reuters.com/technology/germany-plans-double-ai-funding-race-with-china-us-2023-08-23
