American Edge Project CEO Doug Kelly joined Maria Bartiromo on Fox Business this morning to discuss new AEP research revealing the infrastructure and workforce challenges threatening America’s AI leadership. While the U.S. currently leads, China is positioned to overtake America across three of four critical factors – energy production, skilled workforce, and AI adoption.
The report finds that global AI investments will total $7 trillion by 2030. Kelly detailed how China’s energy advantage – generating twice as much electricity as the U.S. – combined with America’s outdated grid and 2 million person workforce shortfall, puts decades of national security and economic advantages at stake.
Kelly outlined a three-part “urgent action plan” for Congress: 1) pass and fund President Trump’s AI plan, 2) expand energy and grid capacity, and 3) enact a temporary freeze on state AI regulations. Currently, 1,100 state-level AI regulation bills threaten to fragment America’s strategy into “50 different playbooks.”
A transcript of the interview can be found below and you can also watch the interview here.
AMERICA IS IN A BARE-KNUCKLE FIGHT FOR AI LEADERSHIP
“Yeah, look, you know, thanks for having me, first of all, today. Secondly, we’re in a bare knuckle fight with China for AI leadership. And, you know, the good news is we’re ahead narrowly right now. But look, we’re not long, we’re not positioned for long-term leadership in this.”
CHINA’S ADVANTAGE ACROSS ENERGY, COMPUTE, TALENT, AND ADOPTION
“And there’s four reasons why. First, in energy, right? The country that produces the most energy is gonna win the AI race. Secondly, other factors are you need really strong chips, you need a lot of data centers. Third, you need a really talented workforce, but also a lot of skilled labor to build and maintain the data centers. And fourth, you want to make sure that your AI is being adopted aggressively both at home and abroad.
“Now, our study finds… that on those four factors, China is ahead of America in three of them, and pretty sizably ahead. And it matters that America wins this AI race because whichever country wins this race is gonna get decades of national security advantages, economic prosperity advantages, and advantages in terms of influence around the globe.”
ENERGY AND TALENT ARE AMERICA’S BIGGEST WEAKNESSES
“Energy is the deciding factor of who’s gonna win the AI race… China has invested hundreds of billions of dollars in its energy infrastructure… they can generate twice as much electricity as we can today. They’re gonna add sixty percent more power over the next three decades…
“In the meantime, in the U.S., we’re gonna have this huge surge of demand… and our grid is outdated, fragmented and underinvested in…
“We have at least a two million person shortfall in the industries that are gonna help decide who wins this… from AI experts to plumbers, pipe fitters, electricians, cybersecurity experts. And those are jobs that you can’t turn around and fill quickly… you don’t create two hundred and fifty thousand engineer electricians overnight.”
CHINA’S TACTICS AND WHAT THE U.S. MUST DO
“We wanted to put a red flag out there about what China’s intentions are. Their goal is to become the global tech leader… they’re investing trillions of dollars, they’re stealing hundreds of billions of dollars of our technology, and they’re trying to create monopolies on rare earth metals…
“There’s three things that Congress has got to prioritize. Number one, the President has put together an amazing AI action plan. Congress needs to pass it, put it into law, and fund it…
The second thing… states are clearing the way for accelerated energy development, investments in grids…
“And the final thing… states are not overregulating AI. Right now there’s eleven hundred bills… You don’t win the AI Super Bowl by having fifty different playbooks… You win it by having one.”
##