AI in Ireland and Europe: the Taoiseach’s Perspective
Introduction
In a recent article in the Business Post, Ireland’s Taoiseach Micheál Martin underscored the transformative potential of artificial intelligence (AI) for both Ireland and the EU [1]. Written in the wake of his attending the AI Action Summit in Paris earlier that week, Martin compared AI’s impact to that of the Industrial Revolution and the printing press, arguing that Europe must embrace AI’s opportunities while ensuring appropriate regulation. His remarks come at a time of increasing global debate on AI governance, with the EU’s AI Act aiming to set the world’s first comprehensive regulatory framework for artificial intelligence, and a new international declaration signed by more than sixty nations in Paris last week upping the ante regarding regulation.
A game-changer
Martin highlighted AI’s capacity to address economic and societal challenges, citing healthcare as a key area where AI can revolutionise diagnostics and chronic disease management [2]. AI-driven medical technologies, such as predictive analytics for disease outbreaks and AI-assisted imaging for cancer detection, are already showing promise in transforming healthcare systems. For example, Omdena’s AI-powered app in Liberia predicts malaria outbreaks and identifies high-risk areas, enabling health officials to take proactive measures, particularly for vulnerable groups such as children and pregnant women. [3]
Beyond healthcare, AI offers the potential to boost productivity across industries. McKinsey estimates that AI could contribute $2.6 trillion to $4.4 trillion to the global economy annually in productivity, with sectors such as finance, logistics, and manufacturing standing to gain significantly [4]. Ireland, with its strong base of technology firms and multinational corporations, is well-positioned to capitalise on these gains if the right policies are put in place.
However, while Martin champions AI’s potential, concerns remain about the technology’s risks, including job displacement and ethical dilemmas surrounding AI decision-making. The OECD warns that up to 27% of jobs in developed economies could be at high risk of automation due to AI advancements [5]. In Ireland, where the tech sector employs over 100,000 people, the challenge will be to upskill the workforce to ensure that AI augments rather than replaces jobs. But Martin concludes that the risk is worth the reward, “If we don’t [enable Europe to access the full potential of AI], we risk losing out and forfeiting the enormous gains AI promises.” [6]
Regulation vs Innovation
Central to Martin’s argument is the need for a balanced approach to AI regulation. The EU AI Act, set to become the world’s first comprehensive AI legislation, classifies AI applications into four categories based on risk: unacceptable, high, limited, and minimal. Applications deemed “unacceptable” (e.g., social credit scoring systems) will be banned, while high-risk AI systems (such as biometric surveillance) will be subject to stringent regulatory requirements.
While Martin supports the Act’s objectives, he stresses the importance of its implementation being proportionate and innovation-friendly. Critics of the AI Act, including industry leaders and policymakers in the US, have argued that excessive regulation could stifle AI development in Europe. JD Vance, the US Vice President, voiced concerns at the Paris summit, claiming that Europe’s approach risks hindering AI investment and competitiveness [7]. The Trump administration will “ensure that AI systems developed in America are free from ideological bias,” Vance told the conference, pledging that the US would “never restrict our citizens’ right to free speech.” In an address that seemed keen to provoke, he also stressed that “the Trump administration will ensure that the most powerful AI systems are built in the US, with American-designed and -manufactured chips”.
Proponents of AI regulation argue that Europe’s regulatory leadership will ensure AI development aligns with democratic values and fundamental rights. The European Commission has defended the Act, stating that it will create legal certainty for businesses while protecting citizens from harmful AI applications. Ireland’s role within this debate is crucial: as a major hub for tech companies, it must navigate both compliance with EU regulations and maintaining its attractiveness for AI-driven investment. As Martin puts it: “Good regulation provides appropriate protection, it provides certainty for all stakeholders, but it also facilitates innovation, growth and investment. It doesn’t stymie progress and opportunity; it enables it.” [8]
At the Paris summit, hosted by French President Emmanual Macron, more than 60 nations, including China, signed a new international document making a global pledge to promote responsible AI development. The document pledged to “ensure AI is open, inclusive, transparent, ethical, safe, secure, and trustworthy.” It also called for “making AI sustainable for people and the planet” and protecting “human rights, gender equality, linguistic diversity, consumer rights, and intellectual property.” Former Fine Gael MEP Deirdre Clune was one of the negotiators in the European Parliament working on the legislation. She told The Irish Times that MEPs tried to make the act “as innovation-friendly as possible…but it needs to be pinned down. It needs to be regulated and have oversight…You can’t have things run riot, making decisions about people.” [9]
Meanwhile, the European Commission, the EU’s executive arm, came with a plan to set up AI research facilities, which officials likened to the Cern lab in Geneva that hosts the Large Hadron Collider. European Commission President Ursula Von der Leyen said the EU planned to build four big facilities, or “gigafactories”, where European start-ups and other companies can train and develop AI models and software. The research sites will be funded from a €50 billion pot of investment to boost the EU’s AI industry. [10]
Investment in AI is gaining momentum across Europe. At the Paris AI Summit, in addition to the €50 billion pot, came a further €150 billion pledged by private investors, totalling €200 billion to support AI research, development, and deployment. Martin welcomed this initiative, positioning Ireland as a key player in Europe’s AI growth strategy. “This is the scale of ambition Europe needs to turbocharge its AI journey,” he writes. “And I want Ireland to be a central partner in this.” [11]
Ireland’s AI strategy
Ireland’s AI strategy is framed around making the country a leading hub for AI innovation. Martin highlighted Ireland’s strong digital infrastructure, including its network of data centres and high concentration of global tech firms such as Google, Meta, and Microsoft. However, he acknowledged concerns about energy capacity constraints and the need for sustainable AI growth, saying Ireland will need to refresh its National Digital Strategy over the coming months.
One of Martin’s key arguments is that public trust is essential for AI adoption. As without confidence in AI systems, businesses and governments may struggle to implement AI solutions effectively. “Without trust, we won’t have adoption, and without adoption, we will lose out on the potential myriad benefits AI offers across us,” he says. [12]
The EU AI Act seeks to build this trust through transparency requirements and ethical AI principles. In Ireland, the government has worked closely with the AI Advisory Council to establish guidelines on AI ethics, data protection, and algorithmic accountability. Public perception of AI remains mixed: a recent survey by the European Commission found that while 62% of Europeans view robots and AI positively at work and 70% believe it improves productivity, most Europeans support clear rules for the use of digital technologies, for instance protecting workers’ privacy (82%) and involving workers and their representatives in the design and adoption of new technologies (77%) [13].
AI in Ireland and Europe
Micheál Martin’s perspective on AI underscores the delicate balance that Ireland and Europe must strike between innovation and regulation.The debate surrounding the EU AI Act exemplifies this tension. While some view the regulation as necessary to protect democratic values, individual rights, and mitigate risks such as job displacement and misinformation, others warn that excessive restrictions could drive investment elsewhere. Martin’s stance — that regulation must be proportionate and innovation-friendly — reflects Ireland’s broader goal of remaining a global technology hub while complying with EU frameworks.
With €200 billion in AI investment pledged at the Paris Summit and the European Commission’s vision for AI moving forward, the trajectory for AI development in Europe is set. Ireland, with its strong technology sector, skilled workforce, and commitment to ethical AI, is well-placed to be a key player in shaping AI’s future. The challenge will be in navigating energy constraints, public concerns, and workforce adaptation, ensuring that AI serves as a force for progress rather than division.
Ultimately, as Martin notes, failing to embrace AI’s potential would mean forfeiting its vast benefits. As Europe embarks on this new era of digital transformation, Ireland’s role will be to bridge innovation and responsible governance — positioning itself as a leader in the AI revolution while safeguarding public trust and economic resilience.
Sources
[3] https://www.weforum.org/stories/2024/09/ai-diagnostics-health-outcomes/
[5] https://www.reuters.com/technology/27-jobs-high-risk-ai-revolution-says-oecd-2023-07-11/
[7] https://apnews.com/article/paris-ai-summit-vance-1d7826affdcdb76c580c0558af8d68d2
[13] https://europa.eu/eurobarometer/surveys/detail/3222
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