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The GenAI Race: Development of Generative AI in Different Countries

The GenAI Race is the term coined to refer to the competition among the world’s nations to develop the most powerful AI models that can solve issues related to healthcare, demography, manufacturing, etc.

What Countries Are the Leaders in GenAI Development?

Machine learning model distribution by country

Even though the early prototypes of GenAI emerged in the 1960s, little to no attention was drawn to Artificial Intelligence until the 1980s when the “AI renaissance” began, stimulated by various technological factors. During that period, the USA was the main “brain center” for AI research, though significant contributions were also made by the USSR, Britain, and Japan.

By 2017, when Generative AI (GenAI) was being popularized, many nations endeavored to develop their own systems. As of now, 10 countries are named as the leaders in the AI research field: USA, China, the UK, Israel, Canada, France, India, Japan, Germany, and Singapore.

Japanese researcher Shun'ichi Amari pioneered stochastic gradient descent usage in AI

GenAI Inventions and Patents by Countries

According to the AI Index Report, in the period from 2021 to 2022, the overall number of AI patents increased by 62.7%. Currently, China is the indisputable leader in a number of AI patents. As reported by WIPO: the country has produced 38,000 inventions related to GenAI. At the same time, the US and China march in a lockstep in terms of scientific publications on the topic.

The rest of the countries are ranked as follows:

  • USA: 6,276.
  • South Korea: 4,155.
  • Japan: 3,409.
  • India: 1,350.
  • UK: 714.
  • Germany: 108.
Country ranking by the GenAI patent number

GenAI Startups by Countries

Countries ranked by the number of GenAI startups

The US remains a top-ranking nation in the context of GenAI startups, with a 64% increase in the total number of venture deals. This is perhaps unsurprising when one considers the fact that North America has the most developed and well-thought-out startup ecosystem in the world. In this regard China, India, Israel, and the Western Europe seem to drastically fall behind.

Development of Some Spheres of Artificial Intelligence

There are additional statistics that denote the success of different countries at developing certain types of Artificial Intelligence.

  1. Machine Learning Models

As outlined by Epoch AI — a project that tracks history and impact of various AIs launched since the 1950s, thus making it possible to get a picture of the geopolitical landscape pertaining to Artificial Intelligence. The epithet “notable” in this case refers to the influence, popularity, groundbreaking technology, number of parameters, and other values that AI displays. The current country ranking by the number of notable models is as follows:   

  • USA: 61.
  • China: 15.
  • France: 8.
  • Germany: 5.
  • Canada: 4.
  • Israel: 4.
  • UK: 4.
  • Singapore: 3.
  • AUE: 3.
  • Egypt: 2.
Machine learning models and their geographic origins
  1. Foundation Models

Foundation models (FMs) are a type of AI that is trained on a gargantuan corpus of data that contains billions of samples. Unlike task-specific AI that focuses on a single problem, foundation models can handle multiple tasks at the same time. Currently, the US ranks first among the nations who develop their own FMs as the country is a home to the world’s biggest tech companies: Amazon, Google, Anthropic, OpenAI, etc. 

Foundation models and their geographic origins
  1. Industrial Robots
UR10 cobot is used for automating a variety of manufacturing tasks

Industrial robots are a type of automated machinery that is operated with Artificial Intelligence. Used for automating repetitive tasks and increasing throughput at the production facilities, their number has tripled worldwide since 2012. 

Asian countries — namely China and Japan — are the leaders at introducing industrial robots with China deploying 290,300 units. The US is in third place with 39,500 units.

Country ranking by the industrial robot usage in 2022

Users of GenAI by Countries

Taking the example of ChatGPT, the entire world is reported to be using GenAI except for troubled or highly censored areas like Cuba, the Islamic Republic of Iran, Kosovo, and others.

China seems to occupy the first place in GenAI usage, with 83 percent of survey respondents in China reporting that they use GenAI. The US, the UK, and Australia follow China, though the US outshines the country at integrating GenAI to organizations, with a 24% rate.

Investments in GenAI in Different Countries

Investments made in AI have increased 13 times since 2013. However, from 2022 to 2023, a 20% decline in the investment flow has been detected. China and the US are two leading states at investing in the development of GenAI. 

Venture capital investments in AI by country

Who will “win” the AI race? Interestingly, each country focuses on solving issues specific to their economy or society: China dedicates the effort to robotization and autonomous vehicles, Japan seeks to solve demographic problems, Germany puts an emphasis on AI usage in science, and so on. While China has the most patents, and the US has the most startups, the real “winner” of the GenAI race may be the country that manages to implement it the most effectively to suit their various purposes. 

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