Concentration in AI Innovation and the Governance Challenge

A field with its roots established in the 1950s, artificial intelligence (AI) is suddenly much more in the public eye and capable of doing useful things for casual users as well as experts. Its rollout over the coming decade could be a very big deal indeed. AI innovation is advancing. To achieve broad welfare gains and global participation in the AI economy, stakeholders — producers, suppliers, consumers, researchers, regulators and others — will need a safe and trustworthy business environment that facilitates responsible access and technology diffusion.

In a new paper from the Centre for International Governance Innovation (CIGI; Waterloo, Canada), the author examines the concentration of AI innovation and considers factors in the regulatory environment that may support or hinder its responsible diffusion in line with applicable international norms. The paper aims to add to the literature on AI innovation and its diffusion by delivering analysis drawing on a unique combination of firm-level data sources and policy indicators.

The conclusions highlight four priority areas for action in development of international AI governance: 

Designation of an international institution to lead on AI regulatory cooperation

Prioritization of regulatory coherence

Build-in of transparency into regulatory processes and AI systems

Promotion of well-regulated data management

The full paper can be found here:

AI Innovation Concentration and the Governance Challenge

Link: Douglas Lippoldt, CIGI Paper No. 292, April 16, 2024

Further reading: This research builds on my previous work on the digital economy, which focused on the risks of fragmentation. See Mitigating Global Fragmentation in Digital Trade Governance: A Case Study, Q4TK Blog, 19 January 2023.

Patti Smith