NZ must pick a side in US-China AI arms race, Kiwi entrepreneur warns

The Kiwi founder of PrimerAI, a San Francisco-based artificial intelligence company used in American military intelligence operations, is urging the Government and private investors here to back defence technology companies.

That includes anything to do with drones, rockets, aircraft, ships and maritime monitoring – many of which were already being built here, Sean Gourley told Markets with Madison.

“A lot of New Zealanders want to remain independent ... You can do that, provided you make massive investments in defence.”

Billions of dollars were flowing to artificial intelligence and defence technology companies in the United States, he said – a shift from a few years earlier, when employees at Google protested its work on Project Maven, a US Pentagon AI project.

“It was a very, very volatile time in terms of running a defence technology company,” Gourley said about the project, where Google engineers staged walkouts.

“You can kind of wrap yourself in that naive view, and I think a lot of engineers and CEOs in Silicon Valley did that.”

Gourley had since sold out of PrimerAI but still lived in Silicon Valley.

He was back in New Zealand this month discussing AI and its national security significance.

“We’re entering into that space where the third technology offset of artificial intelligence is being very, very fiercely competed for, primarily between the US-aligned countries and the China-aligned countries.”

He said New Zealand would eventually have to pick a side politically, despite having trade relations and export earnings coming from both global superpowers.

“When two sides heat up in conflict, you don’t get to keep trading with both of them.

“We’re gonna be forced by both sides to make a choice and declare allegiances and alliances.”

Watch Sean Gourley discuss AI supremacy and how it will change warfare in today’s episode of Markets with Madison above.

Get investment insights from executives and experts on Markets with Madison every Monday and Friday here on the NZ Herald, on YouTube and wherever you get your podcasts.

Sponsored by CMC Markets.

Disclaimer: The information provided in this programme is of a general nature and is not intended to be personalised financial advice. We encourage you to seek appropriate advice from a qualified professional to suit your individual circumstances.

Madison Reidy is the host and executive producer of the NZ Herald’s investment show Markets with Madison. She joined the Herald in 2022 after working in investment, and has covered business and economics for television and radio broadcasters.