How Europe can compete with the US and China on AI (www.techradar.com)

Europe aims to carve out its own competitive edge in the AI landscape by leveraging its unique strengths rather than engaging in an expensive race to develop larger AI models like the U.S. and China. The focus should shift from sheer spending and model power to creating specialized AI systems tailored to specific industry needs. With a wealth of proprietary knowledge and operational data accumulated over centuries, European firms are well-positioned to develop low-cost, high-efficiency models that outperform general-purpose AI in specialized fields. This approach, termed Specialist AI, emphasizes the importance of understanding domain-specific workflows and constraints, especially in sensitive sectors like finance, healthcare, and defense, where regulatory compliance and data specificity are paramount. The article highlights that many tasks do not require extensive capabilities of frontier models, suggesting that businesses reserve these for genuinely complex challenges while utilizing smaller, specialized models for routine operations. By doing so, Europe can establish a more resilient and autonomous industrial strategy that capitalizes on its historical expertise, rather than simply trying to replicate the Silicon Valley model.