AI, Innovation and the Public Good: A New Policy Playbook

Paper by Burcu Kilic: “When Chinese start-up DeepSeek released R1 in January 2025, the groundbreaking open-source artificial intelligence (AI) model rocked the tech industry as a more cost-effective alternative to models running on more advanced chips. The launch coincided with industrial policy gaining popularity as a strategic tool for governments aiming to build AI capacity and competitiveness. Once dismissed under neoliberal economic frameworks, industrial policy is making a strong comeback with more governments worldwide embracing it to build digital public infrastructure and foster local AI ecosystems. This paper examines how the national innovation system framework can guide AI industrial policy to foster innovation and reduce reliance on dominant tech companies…(More)”.