Artificial intelligence: Europe is not like the Americans and the Chinese

According to SKEMA PUBLIKA, AI is an ecosystem where players and related technologies intertwine. But the United States and Asian powers alone account for nearly three-quarters of the AI ​​innovation market!

Thus, artificial intelligence is no longer a buzzword! AI is a reality for companies and will become even more relevant in the coming years. According to an IDC report published in March 2022, the global artificial intelligence (AI) market revenue, including software, hardware and services, is expected to grow by 19.6% (year-on-year) in 2022 to reach 432.8 billion dollars.

But will Europe and France get only crumbs? This is what the note of the analytical center SKEMA PUBLIKA is and is titled: “Artificial intelligence: a political topic”.

This document, published on the occasion of the “Cannes World Festival of Artificial Intelligence”, which took place in Cannes on April 14, is based on a report “Artificial Intelligence: Technologies and Key Players” (Edition 2022) written by Ludovic Dibiaggio (SKEMA Business School), Mohamed Keita (data scientist) and Lionel Nesta (French Observatory of Economic Conditions at Sciences Po).

No French company is among the 20 largest companies in the world.

The main takeaway is that over the past 30 years, the top three countries that have filed the most patents are the US (30%), China (26%) and Japan (12%). France is far behind with 2.4%. In Germany and the UK, things are better, by 5% and 2.5% respectively.

In terms of companies holding AI patents over the same period, IBM is the undisputed leader with nearly 16,000 patents. In second place is Intel with over 14,000 patents. Samsung, the Korean electronics giant, comes in third with 13,243 patents, followed by American Microsoft and Japan’s NEC.

In the top 20 most important AI players, we find five Americans (the three mentioned above plus Google and Ford), two Koreans (Samsung and LG Group), two Chinese (State Grid Corporation of China and Huawei), a German (Siemens ) and Dutchman (Philips).

No French company appears in this global ranking of private players. Thales, the leading French company by number of patents, is ranked 37th in the world with nearly 3,000 patents. However, this is the fourth private player in Europe, very far from the 7,576 patents of Siemens and Germany’s Bosch.

Top 20 European private entities. Sources: PATSTAT (October 2020 edition, authors’ calculations) and SKEMA PUBLIKA.

Nine other actors present in this twenty are Japanese. “Asian companies (especially from Japan) are positioning themselves as very important players in the AI ​​space, even eclipsing GAFAM. Indeed, if Microsoft and Google are in this top 20, you have to move up to 27th to find Apple, while Amazon and Facebook are in 42nd and 49th, respectively.say the authors of this report.

“In terms of AI specialization and market share, France never seems to have consolidated its global dominance in any of the sectors of the value chain linking science to AI applications. It seemed promising in technologies related to neural networks or in the field of transportation, but without increasing market share since the 2010s.”read in this post.

France focuses on innovation in expert system methods, probabilistic graphical models and rule learning. “France has major weaknesses in deep learning, fuzzy logic and reinforcement learning. It is losing ground compared to its competitors in the machine learning segment.”indicates SKEMA PUBLIKA.

By 2025, France plans to allocate 2.22 billion euros to AI, including 1.5 billion euros in public funding and 506 million euros in private co-financing.