How AI could widen the global economic divide—and why all business leaders should care

Artificial intelligence has become a major driver of global economic growth, prompting international discussions on its sustainable development. A key concern is the concentration of compute, data, and resources in the Global North, potentially exacerbating inequality. Developing nations risk becoming digital colonies, with labor and data flowing north without sufficient value return. This unequal distribution could limit the applicability of AI advancements and hinder the development of local language understanding. The Global South risks losing economic opportunity and digital sovereignty if it remains a passive consumer of imported AI. This situation is detrimental to global businesses aiming to enter emerging markets, as AI trained primarily on Western data may misunderstand diverse consumer needs. To avoid "algorithmic colonialism," investment in local infrastructure, data trusts, fair wages, and open-source models is vital. Companies are encouraged to audit AI blind spots, create transparent data agreements, and launch open-source initiatives in emerging markets. By promoting collaboration and equitable benefit-sharing, AI can bridge the gap between the Global North and South. Failure to address this divide could lead to increased inequality and instability on a global scale.