AI's arrival in Ireland signals 'period of uncertainty' but also opportunity, minister says

Enterprise Minister Peter Burke has acknowledged that Ireland faces a "period of uncertainty" as artificial intelligence (AI) increasingly penetrates the economy and expands across businesses. He stated that while challenges are inevitable during this transition, government policy is being developed to restore certainty and empower companies to seize the opportunities presented by AI.

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We have set the policy as there is a period of uncertainty and we have to be honest about that. Without, and in the absence of policy, comes uncertainty.

Burke's comments coincide with a report revealing significant investment in Ireland's AI sector. In the first half of the year, over €214 million was invested in Irish AI companies operating in diverse fields such as fintech, healthcare, space technology, and AI infrastructure. The minister noted a substantial flow of investment, with hundreds of millions of euros being considered by the cabinet weekly.

"We have set the policy as there is a period of uncertainty and we have to be honest about that. Without, and in the absence of policy, comes uncertainty," Burke said. He expressed confidence that the current policy framework will "bring back certainty into development and will enable to grasp the opportunities of artificial intelligence."

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But I believe the current policy will bring back certainty into development and will enable to grasp the opportunities of artificial intelligence.

Beyond AI, Burke also highlighted rising energy costs as a significant hurdle for the enterprise economy. He indicated a desire for increased capital allowances for both energy-intensive industries and small businesses in the upcoming budget. The government is actively exploring ways to help companies, particularly large energy users, adapt their operational models to reduce costs, including advancing subsidies and grants through an environment aid scheme and changing energy grants for smaller businesses.

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It will be a challenge… and equally there will be a transition in the Irish economy as well.

In response to questions about a data center report, Burke denied attempts to "suppress" its findings. The minister confirmed that the government is working closely with companies to change business models and reduce energy costs, emphasizing the importance of large-scale renewable energy generation co-located with major energy users.

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The idea of advancing subsidies and grants to current expenditure will not achieve anything and that is why we brought forward a €300m environment aid scheme.