Could America win the AI race but lose the broader war
The United States has heavily invested in artificial intelligence, spending over $350 billion on AI infrastructure in the past year, with projections exceeding $400 billion by 2026. This outpaces China’s estimated investment of about $100 billion. Yet, while the US commits fully to AI, there is a risk that it may win the AI race but lose the broader economic contest, as China is diversifying its investments across multiple technological futures.
Source Financial Times
While Western companies, especially those in Silicon Valley, are heavily focused on AI, China is spreading its bets across several strategic areas. Despite frequent talk of an existential AI race, China’s level of commitment to AI may be less singular and intense than often portrayed.
Therefore, future global economic and technological dominance will likely depend not only on winning the AI race but also on the adaptability and breadth of investment strategies. In the coming years, how states and businesses balance concentration and diversification will be crucial to watch.
