Trump Wants to Double Spending on AI, Quantum Computing
11 February 2020 - 12:11AM
Dow Jones News
By Angus Loten
The White House on Monday proposed roughly doubling nondefense
research-and-development spending on artificial intelligence and
quantum information sciences, citing fierce global competition,
while cutting overall funding for R&D.
The proposal is part of President Trump's $4.8 trillion federal
budget for the fiscal year ending in September 2021. A White House
budget isn't binding; it signals an administration's areas of focus
for congressional budget negotiations in the year ahead.
Under the proposal, the government's overall R&D spending
would decline to $142.2 billion from an estimated $156 billion in
fiscal 2020, according to a White House budget document.
Within the next two years, annual spending on AI would rise to
more than $2 billion and funding for quantum computing would
increase to $860 million, according to the White House plan.
The proposed increases in AI spending include more than $850
million at the National Science Foundation, $125 million at the
Department of Energy's Office of Science and $100 million at the
Agriculture Department, among other agencies.
The budget also proposes $50 million in AI and quantum education
and job training initiatives, including partnerships with community
colleges.
"Early-stage research is a high priority," Kelvin Droegemeier,
director of the White House Office of Science and Technology
Policy, said about proposed AI and quantum funding on a media
conference call Monday.
Federal Chief Technology Officer Michael Kratsios, also speaking
on the call, said the U.S. is facing a "global power competition"
for AI, quantum computing and other critical technologies.
That includes a fierce rivalry with China, said Stephen Ezell,
vice president of innovation policy at the Information Technology
and Innovation Foundation, an independent Washington, D.C.-based
policy think tank.
Mr. Ezell said China wants to establish itself as the world's
primary AI innovation center within the next decade, generating $60
billion in output from AI-based companies and industries by
2025.
China-based Alibaba Group Holding Ltd., the world's largest
online shopping market, alone has committed $15 billion over three
years for AI, big data, Internet of Things and quantum-computing
research, he said.
"There's no doubt that competitors such as China are making
serious investments and strategies in an effort to wrest AI and
quantum computing leadership," Mr. Ezell said.
Cinnamon Rogers, executive vice president for public policy at
tech trade group CompTIA, said the federal spending proposals on AI
and quantum computing show the administration is serious about
competing with China and other countries.
"Doubling down on investments in artificial intelligence and
computing R&D is important for innovation and the economy," Ms.
Rogers said.
The Center for Data Innovation, a nonpartisan research
institute, said in a report last year that China is adopting AI at
a faster rate than both the U.S. and the European Union, due in
part to government spending.
The Trump administration last year committed nearly $1 billion
toward AI research, citing a need to maintain a competitive edge in
emerging technology.
President Trump in 2017 signed into law a bill authorizing
spending $1.2 billion over five years toward establishing a
National Quantum Initiative aimed at accelerating R&D across
the federal government.
Investing in U.S. computing-technology startups in the private
sector grew to $477.9 million in 2019 from $59.8 million in 2014,
including ventures developing both AI and quantum computing
capabilities, according to PitchBook Data Inc.
Tech giants such as Alphabet Inc.'s Google and International
Business Machines Corp. are also racing to develop quantum
computers, which leverage the properties of quantum physics to
dramatically speed up the process of parsing data.
Write to Angus Loten at angus.loten@wsj.com
(END) Dow Jones Newswires
February 10, 2020 18:56 ET (23:56 GMT)
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