Skip to content Skip to sidebar Skip to footer

UK Pledges 100m Pounds to Compete Global AI Chips Race

The UK government allocates £100 million to bolster AI chip infrastructure, aiming to enhance global presence and competitiveness in the sector.

Key Points

  • UK invests £100 million to establish AI chip infrastructure and catch up globally.
  • Concerns arise over UK’s limited semiconductor market share; plans £1 billion R&D investment.
  • Geopolitical tensions in AI chip tech drive UK to host summit, collaborate on shared standards.
  • Government reinforces commitment to UK’s tech leadership with additional funds for AI advancement and taskforce creation.

The UK government is making a significant investment of £100 million to solidify its foothold in the global AI chip market.

With this initiative, the government aims to establish a robust AI infrastructure in the country and catch up with developments in the US and other nations.

The allocated funds will be utilized to purchase essential components from leading chip manufacturers such as Nvidia, AMD, and Intel.

Concerns About UK Falling Behind

However, concerns are growing within the tech sector and the government.

There is a prevailing sentiment that the UK might be lagging behind in this race. Currently, the UK only holds 0.5% of the global semiconductor sales market share.

In an effort to address this, Rishi Sunak’s government announced a ten-year plan to invest £1 billion into semiconductor research and development.

Nevertheless, this amount seems modest compared to the US’s $52 billion Chips Act and the EU’s substantial €43 billion in subsidies.

Geopolitical Tensions and Shared Standards

Geopolitical tensions surrounding AI chip technology are intensifying.

The White House recently banned US investments in advanced Chinese microconductors after China declared US manufacturer Micron’s chips as a security risk.

In response to these challenges and to establish shared standards for AI technology, the UK plans to host an AI summit in the autumn.

Major chip manufacturers will be finalized as partners through the efforts of UK Research and Innovation and the Department for Science, Innovation, and Technology.

Government’s Commitment to Supporting Technology

A government spokesperson expressed the commitment to fostering a thriving environment for computing in the UK, aiming to maintain the country’s global leadership in science, innovation, and technology.

The additional funds delivered through the UK Research and Innovation (UKRI) will complement the separate £100 million investment in the Foundation Model Taskforce, further supporting the advancement of AI capabilities in the UK.

Taskforce to Enhance UK’s Expertise in AI

In parallel to this investment, on April 24th, 2023, the UK Prime Minister and the Technology Secretary announced an initial funding of £100 million for a taskforce.

This taskforce has been established to enhance the country’s expertise in the rapidly evolving AI field. This funding is in addition to the £900 million already invested in computing technology.

The primary objective of the taskforce is to strengthen the UK’s global standing in this crucial technology, with a focus on secure and reliable AI applications across various industries.

Through these significant investments, the UK government aims to position the country as a global leader in AI chip technology and strengthen its presence in the global AI chip market.