UK urged to support domestic AI firms amid possible US ban on Chinese models

In short: A Financial Times opinion argues the UK needs a plan for a possible US ban on Chinese AI models and more support for British AI companies.

What's going on

A Financial Times column by Labour MP and former foreign secretary David Lammy says the UK is not doing enough to back its own AI companies. He writes that when other countries ask to “do AI with Britain”, the UK often points to the AI Security Institute, a state research body, instead of pointing to homegrown companies.

Lammy also highlights growing tension between the US and China over AI. He points to reports that the US could ban advanced Chinese “open-weight” AI models, meaning models that companies can download and run themselves, like getting the recipe rather than buying the meal. He says many European start-ups and even US firms use these Chinese models because they are much cheaper, citing estimates that they can cost about one-tenth as much as similar US options.

He argues that if the US told American cloud providers like Microsoft, Google, or Amazon to stop working with Chinese models, many British businesses could be caught in the middle. That is because most UK firms rely on these US providers for key software and services.

What to watch

Lammy suggests a three-part approach, including working with allies on shared checks for security risks, and investing more in British AI firms and related areas like chips and data centres. The key question now is whether the UK government will set out a clear plan before any US restrictions force companies to change tools quickly, like having to swap out an engine while the car is still moving.

Source: Financial Times