Trump Needs to Counter China's AI Infrastructure Leadership

OPINION

As the (renewed/returning) Trump administration begins to take shape, one of its most urgent priorities should be securing the infrastructure that will power the Fourth Industrial Revolution — that of Artificial Intelligence (AI).

AI has the potential to reshape the global economy, but for it to thrive, it requires the right digital infrastructure, especially in connectivity and data centers.

Both the U.S. and Europe play critical roles in this transformation, but they face significant challenges. The question arises: where do they stand today, and what actions should the Trump administration prioritize to ensure global leadership?

AI depends on fast, secure connectivity, much of which is carried by subsea cables.

These cables are the lifeblood of the internet, transmitting vast amounts of data across oceans to power everything from AI models to cloud computing.

During President Trump’s first term, initiatives like the Clean Network sought to reduce the influence of Chinese telecom giants, such as Huawei and ZTE, in 5G networks.

The U.S. made significant strides in securing its telecom infrastructure, but Europe has been slow to follow suit.

The issue lies in the lack of coherent economic policy and incentives to modernize telecom ecosystems. On the subsea cable front, the U.S. has been investing heavily to protect these critical data routes and counter China’s growing influence.

However, more investment is needed — particularly in low-latency connectivity linking the U.S. to Europe, the All Mediterranean, Africa, and Latin America.

Alternative subsea routes from the current Suez Canal are of critical importance.

This is where the Trump administration can play a pivotal role: by financing American companies through U.S. development banks to build subsea infrastructure that meets the unique demands of AI — fast, secure, and dependable.

While the West is developing its AI policy, China is already underway to gain an edge in the intensifying global competition. The China AI investment initiative aims to strategically invest $1.3tn in AI to capitalize on the disruptive technology's growth potential.

The U.S. must over-match these efforts to ensure that the country and its businesses lead globally. Leading American AI companies, such as OpenAI have already suggested a "blueprint for U.S. AI infrastructure" that include artificial intelligence economic zones, tapping the U.S. Navy's nuclear power experience and government projects funded by USA private investors.

It's also paramount to create a North American AI alliance (akin to NATO) to compete with China's global AI initiatives.

Only by acknowledging that AI is the future can the new Trump administration ensure that the U.S. will continue its business agility and lead the world with AI. This expansion of AI networks will not only help the U.S. global standing but will also create significant improvements at home.

AI expansion will lead to tens of thousands of jobs, GDP growth, a modernized grid that includes nuclear power, a new group of chip manufacturing facilities and billions of dollars in investment from global funds.

While the U.S. excels in AI model development, AI chips, and recent large data center investments from Amazon, Elon MusksXAi, and others, Europe is struggling to match the scale and security required to support AI’s computational demands.

Many European data centers still rely on Chinese-made infrastructure, raising serious national security and strategic concerns.

The U.S. must take the lead in financing the expansion of secure, state-of-the-art AI data centers and low-latency connectivity in Europe and beyond.

Without these upgrades, AI models and applications will remain vulnerable to external influence and security breaches.

AI will also need smaller, localized data centers to support applications critical to national security or specific industries and sovereign AI powered data.

Europe also faces electric grid limitations, high energy costs, and increasing pressure to adopt greener energy solutions.

EU and U.S. ally-based localized, low-latency data centers free of Chinese infrastructure will be essential for both security and operational efficiency.

These smaller centers must be interconnected with larger, Tier-4 data centers to create a robust, decentralized network capable of scaling AI applications globally.

To ensure AI’s future is secure, independent, and free from foreign interference, the U.S. must continue to lead the development of critical infrastructure.

Europe must also follow suit to modernize its own infrastructure.

By incentivizing American companies to build secure, sovereign networks, both the U.S. and Europe — along with Africa and Latin America — can ensure AI operates on infrastructure that is free from Chinese influence.

AI is not just a technological advancement; it is a strategic asset.

Both the U.S. and Europe must treat AI infrastructure with the same level of sovereignty and security as they would any other critical infrastructure.

The Trump administration has a unique opportunity to shape the future of AI by ensuring that it remains safe, independent, and secure.

The time to act is now — AI infrastructure must be built, and it must be built fast.

Adrian Shatku - Founder & CEO, UNIFI Communications, a U.S.-based global digital infrastructure provider. Mr. Shatku is also a Harvard Business School and MIT Sloan School of Management alumni.