Paper: arXiv 2401.09056

Authors: Abraham Ramos Torres, Laura N Montoya

Abstract

Artificial intelligence (AI) is rapidly transforming the global economy, and Latin America is no exception. In recent years, there has been a growing interest in AI development and implementation in the region. This paper presents a ranking of Latin American (LATAM) countries based on their potential to become emerging powers in AI. The ranking is based on three pillars: infrastructure, education, and finance. Infrastructure is measured by the availability of electricity, high-speed internet, the quality of telecommunications networks, and the availability of supercomputers. Education is measured by the quality of education and the research status. Finance is measured by the cost of investments, history of investments, economic metrics, and current implementation of AI. While Brazil, Chile, and Mexico have established themselves as major players in the AI industry in Latin America, our ranking demonstrates the new emerging powers in the region. According to the results, Argentina, Colombia, Uruguay, Costa Rica, and Ecuador are leading as new emerging powers in AI in Latin America. These countries have strong education systems, well-developed infrastructure, and growing financial resources. The ranking provides a useful tool for policymakers, investors, and businesses interested in AI development in Latin America. It can help to identify emerging LATAM countries with the greatest potential for AI growth and success.

Complexity vs Empirical Score

  • Math Complexity: 1.5/10
  • Empirical Rigor: 3.5/10
  • Quadrant: Philosophers — conceptual discussion, limited math and data

Why this score: The paper provides a qualitative and basic index-based macro analysis for ranking LATAM countries in AI readiness rather than a quantitative finance study. It lacks rigorous statistical testing, advanced mathematical modeling, and backtestable quantitative frameworks required for a higher score in quant finance.

Research Flowchart

  flowchart TD
    A[Goal: Rank Emerging LATAM Powers for AI Startup Investment] --> B[Evaluate 3 Core Pillars]
    
    B --> C1[1. Infrastructure: Power, High-Speed Internet, Telecom, Supercomputers]
    B --> C2[2. Education: Education Quality & Research Status]
    B --> C3[3. Finance: Investment Costs/History, Economic Metrics, AI Adoption]
    
    C1 & C2 & C3 --> D[Compute Comparative LATAM AI Thrust Ranking]
    
    D --> E1[Established Leaders: Brazil, Chile, Mexico]
    D --> E2[Top Emerging Powers: Argentina, Colombia, Uruguay, Costa Rica, Ecuador]

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0 of 82 cited works are in the corpus; resolved via arXiv source bundles, Semantic Scholar and OpenAlex. Corpus-wide: 2518 linked papers.