The race for AI supremacy

Artificial intelligence and the pursuit of a generalized artificial intelligence are occupying our current geopolitical headlines and different assessments regarding its possible impact vary from the very high to the completely paradigm-shifting. It is not inconceivable to conclude that winning this race will settle, for a considerable timespan, who runs the world and who does not.

The focus is concentrated on the technical capabilities of different geopolitical actors. The current leaders, in different connected fields, are primarily constituted by the US, the Netherlands, South Korea, and Taiwan. The challenger is China and it has, as the race has proceeded, narrowed the gap.

As of now China has a technological disadvantage. It however holds another advantage that could, in time, prove decisive.

To run this emerging technology vast amounts of power are required. The assessments vary but some conclude that future datacenters will need a power input equivalent to several gigawatts, meaning one or more standard nuclear power plants.

Even if the US stays ahead technologically the bottleneck for excelling in AI might become the ability to generate power.

China has, in a deft strategic manner, become the manufacturing powerhouse of the world. They have invested greatly in green technologies and an electric distribution system that constitutes our current gold standard. They have at the same time continued building nuclear, coal and gas plants at an astonishing rate.

The ability to generate and distribute electric power could prove to be decisive in the AI race. If this turns out to be the case, China is not climatically readjusting; it is doubling down.

At current trajectories the fight for nanometer advantage might not, in the longer term, decide this race. If the electricity bottleneck proves decisive, China might emerge as the winner.

Update 2026-08-26: Changed “The current leaders are primarily constituted by the US, the Netherlands, South Korea, and Taiwan.” to “The current leaders, in different connected fields, are primarily constituted by the US, the Netherlands, South Korea, and Taiwan.”

Update 2026-08-25: Corrected grammar and spelling (going through old posts using a new tool). The content of the text was not changed in any way.