Australia's AI Advantage: Policy, Territory, and a Potential $115 Billion, according to OpenAI - Australia's artificial intelligence potential, backed by supportive policies, vast land, and an estimated value of $115 billion, as asserted by OpenAI.
In a bid to capitalise on the potential of Artificial Intelligence (AI) and secure a leading role in the Indo-Pacific region, OpenAI, a leading AI research organisation, has unveiled a comprehensive blueprint for Australia. The report, undertaken in conjunction with Mandala Partners, outlines several key recommendations for the nation to reshape its economy and become a trusted AI hub.
Eddie Major, a research fellow in AI policy at the Future Impact Group in the UK, has expressed mixed views about OpenAI's recommendations. While he acknowledges some of the suggestions as valid, he classifies others as a 'bigtech vendor sales pitch.'
At the heart of OpenAI's blueprint is the emphasis on investing in data centres and infrastructure. Given Australia's competitive advantages such as high land availability, strong policy stability, efficient permitting processes, and abundant renewable energy access, building AI-ready infrastructure is crucial to support growing computational needs. This investment is expected to create over 8,000 jobs, although some AI experts find this claim dubious.
The blueprint also stresses the importance of regional collaboration. Partnering with countries like Singapore, Japan, Korea, and Taiwan is seen as a means to drive alignment on AI standards, promote responsible access to compute resources, and safeguard sovereignty and resilience in the Indo-Pacific.
To foster a trusted, rules-based approach to AI, Australia can draw from innovation-forward democracies such as Singapore and Japan, while tailoring regulations to fit its own legal and institutional context. The government is encouraged to roll out national AI literacy and skills training programs for workers, students, and managers, and to offer targeted tax incentives for businesses adopting AI technologies.
Promoting responsible AI use across sectors is another key aspect of the strategy. This includes mandating AI literacy in schools and universities, streamlining government services with responsible AI adoption, upskilling public servants, and reforming AI procurement rules to foster innovation.
Strengthening institutions like the National AI Centre to lead sector-level AI adoption plans in fields such as healthcare and professional services is also part of the strategy. By investing in AI-ready infrastructure, regulating responsibly, and collaborating regionally, Australia aims to become a trusted regional hub for AI standards and investment in the Indo-Pacific.
According to the blueprint, the opportunity presented by AI for productivity and prosperity is too significant to ignore. It predicts $115 billion in AI-derived annual economic gains within 5 years. This optimism is reflected in the growing popularity of AI in Australia, with more than 500 million people around the world using ChatGPT every week, including a significant number in Australia, where usage has doubled over the last 12 months.
Sandy Kunvatanagarn, the head of policy for OpenAI in the APAC region, emphasizes the need for Australians to invest in AI infrastructure to ensure future economic growth, job creation, and increased productivity. He urges action to be taken now to pave the way for the nation's AI future.
However, not investing in data centre capacity will limit the nation's future innovation and push development offshore, warns the OpenAI Blueprint for Australia. OpenAI suggests that the Australian government should offer targeted tax incentives for businesses adopting AI, a suggestion that Eddie Major considers a grab for taxpayer money.
As the world continues to embrace AI, Australia stands at a crossroads. By following OpenAI's recommendations, the nation can position itself as a leader in the Indo-Pacific AI landscape, driving innovation, creating jobs, and boosting its economy. The choice, it seems, is clear.
- Eddie Major, a research fellow in AI policy, has expressed reservations about some of OpenAI's recommendations, categorizing them as a 'bigtech vendor sales pitch,' while acknowledging the importance of investing in data center infrastructure as outlined in the OpenAI Blueprint for Australia, given Australia's competitive advantages.
- In the global landscape of AI, policy-and-legislation plays a crucial role, and as Australia stands at a crossroads, policy experts like Sandy Kunvatanagarn, the head of policy for OpenAI in the APAC region, underscore the necessity for Australians to invest in AI infrastructure to secure future economic growth, job creation, and increased productivity.
