Pax Silica: The long road ahead
This US-led effort on artificial intelligence and supply chain security aims to advance a new economic security consensus among its allies and trusted partners.
The Pax Silica initiative, a US-led effort focused on artificial intelligence and supply chain security, seeks to forge a new consensus among allies and partners regarding economic security. With 24 signatory countries, including the Philippines, and Taiwan as a non-signatory participant, the initiative aims to foster mutual prosperity, technological progress, and economic security through a reliable supply chain for AI technology.
This would reshape global supply chains and create opportunities across various sectors, from energy and critical minerals to manufacturing, infrastructure, and new markets.
In the Philippines, private participants believe there is potential for the country to strengthen its position in the global technology economy by contributing its capabilities and expertise. Carl Cruz, Globe president and CEO, emphasized the importance of collaboration between government and business, as the Philippine private sector explores its role in emerging technology industries and global supply chains.
JAZA echoed this sentiment, advocating for the private sector to initiate conversations and identify areas of potential participation.
The Philippine government has proposed a Philippine Technology Corridor, with potential nodes covering advanced manufacturing, integrated circuit design, AI compute, cloud infrastructure, a Pacific-facing connectivity gateway, critical minerals, and potential semiconductor fabrication hubs. These areas aim to build upon industries and capabilities already being developed in the country.
However, Trade Undersecretary Ceferino Rodolfo acknowledged that the initiative could serve as an additional avenue to strengthen these efforts and deepen the Philippines' connection with a broader international technology ecosystem.
Major telecommunications companies like Globe are seen as natural participants in this evolving ecosystem, given their involvement in fiberization, connectivity, and data centers. AI, cloud computing, advanced manufacturing, and other technology-intensive industries rely on reliable and resilient digital infrastructure, making telecommunications companies well-positioned to support businesses and emerging technology hubs.
Globe CEO Carl Cruz stressed the company's role in ensuring connectivity where needed, as the implementation of the Pax Silica initiative requires careful consideration of environmental resources and other factors.
While the Philippine government and private sector are eager to participate in the Pax Silica initiative, realizing its full potential still faces significant challenges. As with many major development goals, the road to success has been long and fraught with obstacles for the Philippines. Economic journalist and 40-year veteran of the industry observed that many economic plans for the country have either faltered, been abandoned, or withered away.
As the country grapples with the semiconductor industry and AI technology development, the time required for investments to materialize remains uncertain. Nonetheless, Globe CEO Carl Cruz remains optimistic, stating that the private sector must stay engaged, understand emerging opportunities, and bring relevant expertise to the table as the roadmap unfolds.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
