The American COMPETE Act

Key Takeaways:

• The American COMPETE Act calls for studies in technologies such as AI, quantum, IoT and blockchain to bolster U.S. standard of living.
• The Biden government will likely continue the work in these technology areas, particularly those that may bolster the new administration’s top priorities.

A little known legislation passed at the end of last year under the Consolidated Appropriations Act of 2021, called the American Competitiveness of a More Productive Emerging Tech Economy (COMPETE) Act. The law stands to accelerate the adoption of several emerging technologies in the U.S. Ultimately, the bill seeks to maintain a U.S. competitive edge against China. In particular, the COMPETE Act directs the Department of Commerce and Federal Trade Commission (FTC) to submit studies to Congress within one year of enactment on the effect of the following technologies on the U.S. economy:

• Artificial Intelligence (AI), including its application to address harmful online content
• Quantum Computing
• Blockchain
• New and advanced materials such as synthetically derived or enhanced natural properties
• Unmanned Delivery Systems
• Internet of Things (IoT) and IoT in Manufacturing
• 3D printing

The studies for each technology set will entail a survey of the respective industry, including an inventory of public-private partnerships focused on promoting the adoption of the technologies and a comprehensive list of federal agencies that are stakeholders in applying the technology to strengthen U.S. missions and standard of living. Additionally, the COMPETE Act calls on Commerce and the FTC to conduct marketplace and supply chain studies for each emerging technology.

Results of the studies must then produce recommendations to Congress on developing national strategies to advance the technologies, mitigate potential risks, and suggest possible legislation to expedite the adoption of the technology applications.

Last week, in a letter addressed to Commerce’s new Secretary, Gina Raimondo, Representative Cathy Mcmorris Rodgers (who sponsored the COMPETE Act) urged the new appointee to address the need for U.S. leadership in emerging technologies. The letter cites China’s “Made in China 2025” and “Blockchain-based Service Network” platforms as examples of the urgency to accelerate industries of the future technologies. Specifically, she states that the legislation “provides a unique role for the Secretary of Commerce to plot a path for U.S. competitiveness for emerging technologies. …We are looking forward to hearing from you on how we can grow the U.S. economy through the advancement of these technologies, develop national strategies to advance the U.S. global position on these technologies, develop strategies to mitigate current and emerging risks to the marketplace and supply chains of these technologies, and how to incentivize expeditious adoption of such technologies.”

The Biden government is likely to continue the course in advancing emerging technologies, particularly as it pertains to top priorities of the administration. Non-defense related AI research, for instance, is poised to see a budget increase to advance Biden’s scientific and societal equality goals, according to an article out of MIT Technology Review. Regardless, results of the studies demanded by the American COMPETE Act is another stepping stone towards advancing emerging technologies in the U.S., particularly in the federal marketplace.