Image Credentials: Image Title: Tech Cold War: The Rise of Dual-Use Technologies Artificial Intelligence in the Tech Cold War Source: (sora.chatgpt) Date: May 2025 Attribution: Created by AI-generated imagery (sora.chatgpt), it does not depict a real-world scene.
By Open Chronicle
Artificial Intelligence (AI) has emerged as a key strategic technology in the ongoing Tech Cold War, a geopolitical and technological rivalry primarily between the United States and China. AI has become central to national security, economic competitiveness, military superiority, and global governance in this 21st-century power struggle.
Background
The Tech Cold War refers to a period of intensifying competition over emerging technologies, especially AI, quantum computing, semiconductors, and 5G telecommunications. Unlike the original Cold War, which focused on ideological and military conflicts, the Tech Cold War is centered on technological supremacy and control over digital infrastructure.
Strategic Importance of AI
National Security
AI plays a pivotal role in modern defense systems. The U.S. Department of Defense has incorporated AI into autonomous weapons, cyber defense, and battlefield analytics. Meanwhile, China’s People’s Liberation Army (PLA) has prioritized “intelligentized warfare”.
In 2023, former MI6 chief Sir Richard Dearlove warned that Chinese-manufactured AI components could be used to remotely disrupt critical infrastructure in the UK, including power grids and transport systems.
Military Applications
AI is integrated into drone technology, satellite surveillance, and predictive algorithms for military strategy. The U.S. and China are both developing autonomous weapon systems and AI-enabled decision-making platforms to gain battlefield advantages.
Surveillance and Domestic Control
China has pioneered large-scale AI surveillance, particularly through its Social Credit System and widespread facial recognition technology. These systems are used for social control and policing, raising human rights concerns globally.
Economic Influence
AI is also a driver of economic growth. China’s “New Generation AI Development Plan” aims to make it the world leader in AI by 2030. The U.S. counters this with massive investments in AI startups and supercomputing infrastructure. As of 2024, the U.S. plans to invest over $1 trillion by 2030 in AI data centers and infrastructure.
Ethical and Governance Challenges
AI presents complex ethical challenges, including:
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Bias and Discrimination in AI algorithms
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Job Displacement due to automation
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Lack of Transparency in AI Decision-Making
Governments and global institutions are working to create AI governance frameworks, but efforts are fragmented. The OECD and EU have introduced guidelines for ethical AI, while China adopts a state-controlled model of regulation.
Global AI Policy Divide
| Region | AI Policy Approach |
|---|---|
| United States | Innovation-led, pro-business |
| European Union | Regulation-first, ethical AI |
| China | State-controlled development |
The fragmentation of AI governance further intensifies the Tech Cold War. International standards are politicized, and shared innovation is limited by national security concerns.
Dual-Use Technologies
Many AI technologies are dual-use, meaning they can serve both civilian and military purposes. This blurs the line between economic policy and defense strategy, making AI a highly sensitive sector in global diplomacy.
The Road Ahead
As AI continues to shape the global balance of power, the Tech Cold War is likely to escalate. Both China and the U.S. seek to dominate AI research, chip manufacturing, and quantum computing. Multilateral cooperation remains limited amid growing distrust.
References
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Allen, G. (2020). Understanding China’s AI Strategy. Center for a New American Security.
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The i Paper. (2024). ‘I was head of MI6 – here’s how China can shut down UK cities’. Retrieved from https://inews.co.uk
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CSET. (2022). Military and AI: The Strategic Edge. Georgetown University.
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Human Rights Watch. (2021). China’s Algorithms of Repression.
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McKinsey & Co. (2023). Global AI Investment Trends.
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The Economist. (2025). Trump’s AI ambitions and America’s $1 trillion AI Investment.
Staff Writers at Open Chronicle produce in-depth, field-informed reporting on defense, diplomacy, cultural transformation, and global affairs. Known for clarity, accuracy, and analytical depth, they connect breaking developments to broader historical and strategic contexts. In addition to frontline journalism, Staff Writers also contribute to the Open Chronicle Encyclopedia, crafting authoritative entries that preserve critical knowledge and enrich public understanding.