JULY 3 — Protectionism is on the rise. The US, through recent pronouncements, gave clear signals of this. The US is not alone. Many other economies are on a similar path. As a trading nation, this should be a concern to us as well. The global trade dynamics are changing. We need to restrategise. The global supply chains are at risk of being disrupted. Much of our manufacturing economy relies on such supply economics.
To cope, we need to be more resilient. We must strive for greater economic independence. Since technology has become a critical factor in the economy, calls for technology sovereignty have grown louder. Some countries have developed indices to help monitor and make strategic changes to their technology ownership.
Technology sovereignty refers to a country’s ability to develop, access, and control key technologies that are critical for its economy, security, and society without being overly dependent on foreign powers. In an increasingly interconnected and competitive world, this concept has become central to national strategies. It matters for national security.
Too much technological dependence on other nations, especially for critical infrastructure, exposes countries to risks such as cyberattacks, espionage, and supply chain disruption. Sovereignty ensures control over defence technologies and communication systems, protection from backdoors or surveillance by foreign powers, and continuity of critical services during geopolitical tensions.
Countries that develop and retain their own technologies are better positioned to innovate and move up the global value chain, protect intellectual property, and foster homegrown industries. Sovereignty allows countries to shape their own industrial policies and ensure long-term growth. With data being the new oil, nations want to ensure personal and industrial data is stored, processed, and used according to local laws and ethical standards. Citizens’ data is then not exploited or stored overseas without consent. National strategic data on health, education, and security remains protected.
Technology sovereignty is closely linked to a country’s ability to make independent decisions and avoid being caught in the crossfire of global tech rivalries. It enables control over critical sectors like health, energy, and transportation. It supports self-reliance during crises like pandemics or trade wars.
Sovereignty allows countries to promote and preserve their cultural narratives in digital content and platforms, and develop ethical frameworks that align with local values. It will help countries resist technological colonialism and maintain political independence in the digital sphere.
Technology sovereignty is closely linked to a country’s ability to make independent decisions and avoid being caught in the crossfire of global tech rivalries. — Picture from Unsplash/Adi Goldstein
Furthermore, developing local tech capacity drives education, STEM advancement, and job creation. It encourages innovation ecosystems, prevents brain drain, and builds domestic expertise — not to mention supports inclusive economic development by tailoring technologies to local needs. In the 21st century, technology sovereignty is as important as food, energy, and defence sovereignty. It empowers nations to shape their futures on their own terms. As technologies like AI, quantum computing, and biotechnology evolve rapidly, the gap between tech-sovereign and tech-dependent countries may define future global power dynamics.
The EU has developed its own Technology Sovereignty Index (TSI). This measures a country’s ability to control its critical technological supply chains without excessive reliance on foreign entities. Other countries should consider developing their own versions of such an index for several strategic reasons. Over-reliance on foreign technology can make a country vulnerable to supply chain disruptions or geopolitical coercion.
Dependence on foreign tech increases exposure to espionage, backdoors, and cyberattacks. A TSI helps pinpoint gaps in domestic R&D, manufacturing, and innovation, allowing targeted investments. It would boost local tech ecosystems and can nurture homegrown tech champions. Countries like China and the EU use sovereignty frameworks to protect citizen data from foreign surveillance. Over-dependence on foreign big tech can undermine local digital autonomy.
A TSI helps prioritise investments in technologies that will shape future economic power. Without sovereignty, smaller economies risk becoming mere consumers rather than innovators in the global tech hierarchy. Countries can benchmark their tech sovereignty against peers and adjust policies accordingly. Nations with aligned TSI goals can form tech blocs (US-EU Trade and Technology Council vs. China’s Belt and Road digital expansion). COVID-19 and the Ukraine war exposed vulnerabilities in global tech supply chains (semiconductor shortages). Countries like Russia and Iran face tech embargoes.
A TSI could help pre-emptively localise critical tech. A TSI is not just a metric. It is a strategic tool for security, economic growth, and geopolitical influence. As the EU has shown, countries that fail to assess their tech dependencies risk losing control over their digital futures. Nations like the US, India, Japan, and others are already moving in this direction. Those that don’t may find themselves at the mercy of more technologically sovereign rivals.
* Prof Dato’ Ahmad Ibrahim is affiliated with the Tan Sri Omar Centre for STI Policy Studies at UCSI University and is an associate fellow at the Ungku Aziz Centre for Development Studies, Universiti Malaya.
* This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail.
