The competition is all about progress in the technological field, wealth generation, and creating a geostrategic influence around the globe, which is primarily important for the continent’s future and its existence in the global tech race.
European companies’ future in the tech race.
The European technological overview and landscape are more complex and competitive than many of them realise. Four of the top 10 spots belong to European nations such as Denmark, Finland, Sweden, and the Netherlands in the world digital competitiveness index, whose data is released by the International Institute for Management Development (IIMD). They are the home of companies like ASML and Spotify. Despite all the numerous promises and various challenges faced by the European tech companies, it’s now important for them to stay in the race for their future development, wealth generation, and influence in geostrategic.
-
Challenges faced by the companies in the EU:
The challenges that are being faced by the technical sector of Europe are systematically illustrated by the Munich-based marvel Fusion, which made a decision to move its R&D to the United States to reduce some of the burden of strict regulations and a lack of funding, while it seems to be a trend for green tech companies to move to the United States and Asia. Strict regulations in the EU are the reason for slow approval and production of lab-made meat, which is quite easy in the U.S. There is a tremendous gap in investment related to AI between the U.S. and Europe, where the U.S. is standing so high that the European Union needs to bring something in the name of new regulations that will cover this huge difference. With this difference in investment and lack of opportunity, the innovators in Europe are declining. The recently adopted EU AI Act is facing lots of criticism for introducing new policies, which indicates complexities in the Act that are stifling innovative growth in the European region. Further, it is also influencing the risks of driving AI start-ups and scale-ups to leave Europe.
Despite several nations standing tall in the tech race, the European tech landscape still remains competitive. The European continent is facing challenges created by strict regulations and underfunding, which are forcing European companies to relocate to other locations like the U.S. and Asia. To handle this situation, the European Union needs to focus on the advancement of their regulations on the basis of technology and try to minimise the technical gap that has been created due to their low funding and tight regulations.
-
Remedy, which can lead to tech growth:
To strengthen the tech ecosystem in the European Union, they need to increase the funding for the start-ups as well as for the scale-ups by introducing and encouraging pension funds, which leads to more investments in the tech ventures, by taking the example of U.S. and Nordic models. There are ways such as modification of tax policies; by tax policies, we mean deferred taxes, which are charged on stock options, and abolishing exit taxes, which also work as morale boosters for entrepreneurs. Basically, the EU should streamline all the regulatory procedures, give extra attention to innovative ideas such as AI advancement and green tech evolution, and also try to appoint a commissioner for their frontier technological growth. These steps might be useful for the European Union to accomplish its vision.
Is China evolving as a true competitor for the Western nations?
China has made a tremendous stride across the numerous technological sectors, which indicates that the Asian tech giant China is all set to get the title of technological monopoly in an early time frame. It is reported that China`s technical development heavily relies on academic research metrics, even if they show one facet of innovation. To gather a wide range of understanding, it’s necessary to base it on a broader range of innovative indicators. In the past few decades, China’s growth has been undeniable in the field of technological advancement. In those years, China has achieved lots of innovations in technological factors, and now the western side is closely monitoring each and every step of China and taking it as their true competitor, particularly the western side’s interest in the output of China’s leading research institutes.
-
China is the leader in scientific and academic research.
The primary intention of the reports is to examine high-impact research by analysing the top 10 percent of highly cited papers and to primarily rely on the H-index to find the actual motive. Metrics such as citation counts, which can effectively gauge the influence of the research, only capture one dimension of innovation without any breakthrough.
People indicated that in the technological race, countries such as China may have a strong local language journal system, which may be unable to represent true research overviews and has a high chance of being impacted by citation inflation.
Basically, to understand the primary sources of impactful research more deeply, it’s necessary to consider matrices like conference participation, key note pressure, grant achievement, and spin-offs. To determine the exact leader in the tech race, it is quite difficult. The Chinese authors and tech contributors should not be overlooked, and their contributions should be taken into consideration.
-
China`s dominance in the global tech race.
China has adopted and advanced its ability to develop its own superior technologies, and there is a warning that efforts to impose sanctions or decouple from the country won’t be tolerated. Spokesman of the National People’s Congress, Mr. Lou Qinjian, stated that it’s just a matter of time for China to become a global leader in the tech race with newly developed technologies.
Mr. Lou has stated that China will always prefer cooperation on the basic research purpose; they are prepared to introduce new forms of technology independently if it requires, despite all the sanctions that are made against them to slow their growth. All these words come against the question that was asked to Mr. Lou about intensifying global competition in major and mostly advanced tech sectors like 5G and AI.
Hack for the democracies to succeed in the global technology race.
The entire world is on the edge of a technological cold war. Many authorities have claimed to develop digital tools that put the entire open society in danger and can directly challenge democracy. The west has only two options: either retreat or make them more sufficient to fight against all the odds. Presently, the entire focus in the fight for freedom is based on Ukraine; basically, there is a high chance of shifting the entire focus to Taiwan because it is one of the world’s largest technological manufacturing hubs, known for developing the most advanced microchips, and it is hardly located 100 miles from China.
There is a need for immeasurable efforts to be the leader even in the future in the tech race. Just like the West countered Soviet expansion procedures and eliminated the spread of communism after World War II, it is high time for the United States and European Union to become allies and fight this technological battle together. This will bring some new innovative ideas and an expansion of technological growth, resources, and expertise. Such as Europe`s capability to develop semiconductors, AI, and quantum, and, on the other hand, the U.S.`s advancements in fields like fusion energy, commercial space, and ventures.
https://www.prescouter.com/2023/04/the-global-technology-race-is-china-truly-ahead-of-the-west/
