Taiwan rises to 16th in Global AI Index

台灣在全球人工智慧（AI）指數中升至第16位

TAIPEI (Taiwan News) — Taiwan rose five spots from last year to rank 16th globally in AI capability, ahead of most Nordic countries and India.

The Observer’s Global AI Index evaluates 93 countries using 108 indicators from 24 public and private sources, per Liberty Times. The indicators are divided across three pillars — implementation, innovation, and investment — which are further broken down into seven subpillars.

The implementation pillar covers talent, infrastructure, and the operating environment. Innovation includes research and development, while investment covers the commercial ecosystem and government strategy.

The top 10 countries this year are the US, China, Singapore, the UK, South Korea, France, Israel, Canada, Germany, and the United Arab Emirates. Countries ranked 11th to 20th include Japan, Switzerland, the Netherlands, Saudi Arabia, Finland, Taiwan, India, Denmark, Sweden, and Norway.

The Observer said Asian countries are climbing up this year’s rankings, with the United Arab Emirates, Taiwan, and South Korea showing “rapid gains.” Meanwhile, the US remains far ahead, but China is closing the gap at an unprecedented pace.

Taiwan scored particularly high in infrastructure, government strategy, and operating environment, ranking 7th, 8th, and 15th globally. It lagged in development (27th), commercial ecosystem (30th), and talent (33rd).

Industrial Development Administration Director-General Chiou Chyou-huey said government AI policies and the Taiwan Chip-based Industrial Innovation Program, combined with TSMC and server supply chain strengths, give Taiwan “world-class strengths,” per Liberty Times. He added that progress in AI-related regulations, operating environment, and research shows Taiwan’s institutions and environment are becoming increasingly mature.

Chiou also highlighted three areas where Taiwan still lags. A low talent score reflects a severe shortage of high-level AI professionals, while the commercial ecosystem indicates a lack of AI-driven businesses and startups.

Development capacity is limited, with Taiwan mostly using AI tools rather than creating new technologies. “These three weaknesses are the bottlenecks that prevent Taiwan from entering the top 10,” Chiou said.