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arXiv · 2606.07245

AI Sovereignty: A Qualitative Model of Strategic Competition as AI Becomes an Instrument of National Power

Timothy Clancy·Asmeret Naugle
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Abstract

AI sovereignty is the extent to which a nation independently controls its artificial intelligence (AI) technologies. The race toward ever-more-sophisticated frontier AI models is of increasing strategic importance, with nations considering how AI might improve their economic situations, competitive advantage, and overall national power. However, the costs of AI sovereignty are enormous, and we lack definitions and conceptual models to navigate evolving AI sovereignty dynamics. We address this gap with definitions relevant to AI sovereignty, along with a first-of-its-kind qualitative model that incorporates micro, meso, and macro contributors. Model-based qualitative forecasts highlight competitive dynamics and evolving potential for AI-driven national power. The model identifies key leverage points that nations can use to enhance their own growth or degrade an adversary's, including consideration of accelerators, electricity, water, data sets and skilled workforce. These leverage points can be activated at strategic and operational levels through both direct kinetic actions, such as Iran's targeting of data centers with drones, and indirect non-kinetic effects including cyber, space, information, economic coercion and diplomacy. If our assumptions and hypotheses are valid, this strategic competition may come to define how nations improve their economic situations, competitive advantage, and overall national power in the 21st Century.

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Timothy Clancy, Asmeret Naugle. 2026-06-05. AI Sovereignty: A Qualitative Model of Strategic Competition as AI Becomes an Instrument of National Power. https://arxiv.org/abs/2606.07245

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