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AI technology specialization and national competitiveness.

Youngsam Chun1,2,3, Jisoo Hur1,2, Junseok Hwang1,2,4

  • 1Technology Management, Economics and Policy Program (TEMEP), Seoul National University, Gwanak-gu, Seoul, South Korea.

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Summary

Nations can boost artificial intelligence (AI) competitiveness by leveraging existing technological strengths and integrating new scientific knowledge. Focusing on scientific advancements is more beneficial than solely increasing technological complexity for AI specialization.

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Area of Science:

  • Technology and Innovation Studies
  • Economic Development
  • Artificial Intelligence

Background:

  • National competitiveness is increasingly tied to advancements in artificial intelligence (AI) technology.
  • Understanding the drivers of AI specialization is crucial for economic and technological development.
  • Existing research often overlooks the interplay between scientific knowledge and technological capabilities in AI.

Purpose of the Study:

  • To investigate the key determinants influencing national specialization in artificial intelligence (AI) technology.
  • To analyze the impact of pre-existing technological capabilities and scientific knowledge on AI specialization.
  • To provide policy guidance for nations seeking to enhance their AI competitiveness.

Main Methods:

  • Utilized a revealed comparative advantage matrix to assess international technological specialization.
  • Employed a three-way fixed-effect panel logit model to analyze AI specialization determinants.
  • Examined the influence of technological capabilities, scientific knowledge, and technological complexity.

Main Results:

  • Pre-existing technological capabilities are a significant predictor of AI specialization, especially in emerging AI domains.
  • Scientific knowledge positively impacts technological specialization, emphasizing the need for integration with technological sectors.
  • While complex technologies aid AI specialization, scientific knowledge shows a stronger positive effect.

Conclusions:

  • Nations should prioritize integrating new scientific knowledge into technological sectors for AI competitiveness.
  • Enhancing AI competitiveness may be more effectively achieved through scientific integration than solely advancing existing technologies.
  • Policy recommendations focus on leveraging scientific and technological capabilities, particularly for less developed nations.