Time for Anthony Albanese to get serious on AI, say tech bosses

Following Labor’s resounding election victory, the nation’s tech leaders have implored the government to take advantage of the opportunity AI offers it to boost lagging productivity.

Tech leaders have implored the re-elected Albanese government to focus on artificial intelligence and the productivity boost it could offer the nation. Picture: Martin Ollman

Tech leaders have called on Anthony Albanese and the Labor government to prioritise the development of artificial intelligence capabilities and skills to boost productivity across the workforce and get ahead in the global race for AI power.

Tech bosses called for investment in “a future-ready workforce” to protect the nation’s economic security.

National productivity has slipped to worryingly low levels amid the global trade war, with labour productivity falling 1.2 per cent over the past year, and tech leaders believe AI is the key to boosting Australian labour’s output, with estimates it could eventually contribute $600bn to the global economy per year.

TechnologyOne chief executive Ed Chung demanded the government move quickly to develop AI.

“The new federal government must move fast to lead a national conversation here about securing national economic security,” Mr Chung said.

TechnologyOne chief executive Ed Chung.

Tech Council of Australia CEO Damian Kassabgi.

The SaaS behemoth’s boss said the government has “to talk about how we use all the tools at our disposal to rebuild Australian industry capability … We need to take a serious look at building resilient and sovereign capability in services and information industries and emerging challenges, such as AI and R&D growth”.

“With the election behind us, the federal government has the opportunity to start a new term by bringing the state leaders together to get this started.”

Interactive boss Alex Coates was critical of the “lack of focus” on the sector in the most recent budget, where AI and cyber security were barely mentioned.

“The lack of focus on technology in the budget announcements was alarming, as it means we risk under-investment at a critical time. Australia is falling behind, especially in AI,” she said.

“We need to level up quickly and that requires industry-wide collaboration, not isolated efforts.

“Now more than ever, business and technology are inseparable. Tech isn’t just a cost – it’s the key to growth, competitiveness and innovation. Yet, we face uncertainty and rapid change.

“The question is: will Australia step up or fall further behind? I implore the incoming government to prioritise increased collaboration with the IT industry to drive policy and regulatory shifts. Otherwise, there won’t be enough progress across the board, and our industries will come to a standstill … when momentum and collaboration are more crucial than ever.”

Interactive CEO Alex Coates lashed the lack of focus on tech and AI in the recent federal budget.

SAP’s president and managing director, Australia and New Zealand Angela Colantuono also implored investment in AI.

“We encourage the government to prioritise policies that support AI skills development and accelerate adoption across businesses, the public sector and the government,” she said.

“By investing in AI skills and accelerating technology adoption, the government can deliver a digitally advanced Australia – thus enhancing productivity, building a future-ready workforce and unlocking new economic growth.”

Tech Council of Australia chief executive Damian Kassabgi said the government had a mandate to build on current policy.

“The strength of the victory positions the government well to build on existing work around our R&D system and the development of a national capability plan, and to act boldly to address productivity constraints and the slowdown in investment,” he said.

“We have a once-in-a-lifetime opportunity to return Australian tech investment to global standards, attract the world’s best talent, upskill Australians, invest in digital infrastructure, and realise our shared goal of reaching 1.2 million tech jobs … by 2030.

“We know our country punches above our weight in innovation and have proven we can create homegrown products and innovate for the global market.”