The US and China are engaged in a competitive AI race globally, while countries like India, Indonesia, and Vietnam are looking at AI technology to achieve their developmental objectives and uphold digital independence. The US leads in frontier innovation, focusing on large language models and artificial general intelligence (AGI), whereas China excels in embodied AI, industrial robotics, and hardware integration. The competition between the two giants centers around advanced semiconductors, critical minerals, and energy infrastructure.
For many countries in the Global South, the pursuit of AI is not just about technology but also about political and developmental implications. There is a concern about structural dependency where data and profits may flow outward, limiting policy flexibility. Without strategic autonomy, these developing economies risk being absorbed into competing digital alliances.
Indonesia and Vietnam have set ambitious goals to achieve developed-country status by 2045, while India aims for the same by its centenary of independence in 2047. These countries are aligning their technological strategies to enhance digital strategic autonomy, emphasizing shared national interests. The primary focus is on leveraging AI to drive structural transformation, following the footsteps of earlier industrialization waves in East Asia, with the ultimate goal of poverty reduction and societal advancement.
India’s approach to AI involves issue-based multi-alignment rather than bloc politics, emphasizing the export of Digital Public Infrastructure (DPI) to developing economies. Through initiatives like the IndiaAI Mission and projects such as BharatGen, India is investing significantly in domestic AI capabilities while prioritizing the development of “safe and trusted AI.” The country aims for institutionalized autonomy by promoting interoperable public systems rather than seeking alignment with specific blocs.
Indonesia’s foreign policy doctrine of “free and active” extends into the digital realm, focusing on non-alignment while actively engaging in digital policy initiatives. Collaborative efforts like Sahabat-AI, developed in partnership with India’s Tech Mahindra, demonstrate how private innovation can align with public policy objectives. On the other hand, Vietnam adopts a strategy of Bamboo Diplomacy, balancing Western investment with proximity to China to ensure supply-chain resilience. This approach, rooted in historical and geographical considerations, emphasizes calibrated balance over overt alignment.
