Military AI Drone and Tank

Military AI – The Hidden (and Growing) Risk in Your Portfolio

Event Details

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Investments in AI, including generative AI (gAI), are exploding, having exceeded $1.6 trillion over the past decide. Investing in AI is investing in the future – a paradigm shift in how businesses, consumers, and governments operate and make decisions. A critical issue for investors to understand and evaluate in their investments is the dual-use capability of AI and gAI technology, which have capabilities across both civilian and military applications and deployments.

Commercial innovation that has developed and deployed civilian-focused tools, from drones and satellites originally designed for agriculture or aerial mapping to generative models like ChatGPT, is increasingly being repurposed for military use. 

Dual-use capabilities have enabled the exploitation of the scale and agility of commercial innovation to be developed, purchased, modified and deployed by military forces around the globe. Military AI represents the deadliest application of what is currently the biggest driver of financial speculation and investment in global AI markets, with growth in gAI investment far outpacing AI investments.

Amid escalating geopolitical tensions, an exponential increase in active global conflicts and war, military imperatives and corporate interests are no longer separate threads but are now interwoven in the fabric of technological innovation. Is investing in AI/gAI indistinguishable from investing in war?

During this session, which took place during the ICCR Spring Conference, investors learned about research conducted by Empower focused on how global private-sector investment in AI and gAI is generally dominated by Big Tech firms, but with significant holdings by public and private pension funds, as well as a group of VC investors and entrepreneurs with significant influence in the current administration. 

Through an expert panel discussion, we explored how the changing landscape of dual-use technologies is intrinsically tied into current geopolitical ambitions, rising conflict and militarization, and the AI arms race. We discussed how the most influential AI and gAI private companies have turned their focus to military applications and the implications of these developments for responsible investors.

 

Speakers included:

 

If you are an Investor Alliance Member and would like to watch a confidential recording of the session or view the slides, please reach out to Anna Frader-Stefanovic.