Microsoft backs New Zealand's AI strategy for digital growth

Microsoft has expressed its support for the New Zealand Government's newly outlined strategic direction on artificial intelligence (AI), as detailed in a recent Cabinet paper released by the Ministry of Business, Innovation & Employment (MBIE).

The strategy acknowledges the potential benefits of AI across both public and private sectors in New Zealand and aligns with Microsoft's global commitment to empowering individuals and organisations.

The Cabinet paper highlights New Zealand's lag in AI adoption compared to its peer nations and emphasizes promoting a higher uptake, particularly within the public sector. It underscores AI's potential to modernise and improve the efficiency, trust, and customer-centric nature of public services. An instance of AI's success in the public sector is illustrated by the Accident Compensation Corporation (ACC)'s trial of Copilot for Microsoft 365, which enhanced back-office productivity.

MBIE's recommendations suggest that New Zealand adopt a proportionate, risk-based approach to AI regulation. This approach should be informed by international developments and standards, including the Organisation for Economic Cooperation and Development's (OECD) AI Principles.

Vanessa Sorenson, Managing Director of Microsoft New Zealand, remarked on the importance of AI for the nation's innovation and economic growth. "Microsoft is dedicated to enabling digital transformation across the globe, and we are particularly excited about the potential for AI to drive innovation, efficiency and economic growth in New Zealand," she said. Sorenson also noted the company's eagerness to collaborate with various sectors to harness AI's benefits while ensuring its ethical and responsible use.

The forthcoming launch of Microsoft's New Zealand cloud region later this year is expected to further support the government's AI ambitions. The new cloud region will provide scalable, highly available, and resilient cloud services, enabling businesses, government agencies, and NGOs to meet their data residency, security, and compliance requirements.

New Zealand has been acknowledged for its innovation in AI, with numerous local companies deploying AI to create pioneering solutions. Examples include Stuff Group Te Puna and Straker, which have joined forces to enhance the number of news articles in te reo Māori through a blend of AI and human translation. LawVu is another example, enhancing its legal workspace software with AI to support in-house legal teams more effectively. Additionally, agri-innovator Techion is working with AI experts Aware to improve agricultural productivity and sustainability and is also collaborating with Awanui Labs to potentially transform medical diagnostics for humans.

"We believe that AI can be a force for good, helping to solve some of the most pressing challenges facing society today," Sorenson added. She emphasised that clear guidance on AI adoption is vital for New Zealand to remain competitive in a highly interconnected world, supported by the necessary computational power to achieve these goals.

As New Zealand looks to step up its AI adoption and regulatory approaches, Microsoft's backing and the new initiatives in the pipeline suggest a significant phase of digital transformation that could bolster efficiency and innovation across various sectors of the economy.