For just and sustainable technological and economic development

1. The International Union of Socialist Youth (IUSY) expresses its deep concern over the current impact of recent technological developments concerning artificial intelligence (AI) on labour and financial markets, as well as the social and ecological impact across the globe.
2. Firstly, we recognize the enormous potential of this disruptive technology to boost a more sustainable economic development, as well as improve health and education. Despite a still limited market reach - 10% of US firms are using AI according to the US Census Bureau - experts at the Eurasia Group argue that this technology will came to stay in the world's economy.
3. Still the current situation presents several collective and individual risks.
4. The Financial Times reported on a freezing of labour markets in several western economies, since businesses are waiting to see a major breakthrough in AI development, which would make many new hired graduates redundant. Their waiting however has slowed down hirings and graduates face emerging employment challenges.
5. Furthermore, last year´s performance of the tech sector in financial markets, which mostly boosted US economic growth, has been increasingly financed by debt acquired by big tech companies, mainly in the US and Europe. This trend is expected to continue, according to the Eurasia Group, leading to a cumulative AI-investment of 3 trillion dollars in 2030. Nevertheless, if AI development - not even fail, but - disappoints investors might have severe financial and economic consequences on a global scale.
6. AI infrastructure consumes an enormous amount of energy and water, almost as much as heavy industries, such as steel. This poses a challenge for the economy to develop energy efficient models and the governments to supply and distribute resources, but also a threat to ecological and social stability. Almost half of the population already lives under water stress, according to the World Resource Institute. This situation could be worsened by increasing and unregulated water consumption by IA data centers. In order to meet an increasing demand, governments might have to fall back on fossil energy, slowing down climate change mitigation.
7. In addition, an increased use of AI will trigger demand for rare minerals to build semiconductors and batteries, which are essential for this technology. Current reserves, however, concentrate on few global powers and conflict zones, increasing the risks of conflicts and diplomatic tensions.
8. Finally, the Eurasia Group warns on the negative impact of AI driven applications on socialization and health. More and more people, especially our youth, rely on AI driven applications for companionship, emotional support and medical advice. Individual isolationism, anger and apathy will have consequences on politics and economics.

Therefore, IUSY urgently calls to:

9. Strengthen clear national and international regulations on AI to moderate financial volatility, resource consumption and protect young people, especially teenagers.
10. Strengthen training and lifelong learning options for young people to increase their employability during AI development and its deployment on the labour market.
11. Promote research and development, as well as information and intersectorial dialogue on IA´s social, ecological and economic opportunities, risks and challenges.
12. IUSY reaffirms that there can be no technological progress without social justice and sustainability.