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Brazil announces R$ 23 billion investment in AI by 2028, but bureaucracy could hinder progress.

The Brazilian federal government has announced the final version of the Brazilian Artificial Intelligence Plan (PBIA), with projected investments of up to R$ 23 billion by 2028. Coordinated by the Ministry of Science, Technology and Innovation (MCTI), the initiative seeks to consolidate the country as a leader in the sector, encompassing areas such as infrastructure, training, governance, and regulatory support. Among the planned goals is the acquisition of one of the five most powerful supercomputers in the world, which could significantly expand the national capacity for data processing and advanced AI research.

The movement follows the global race for technology, but according to Lucas Mantovani, partner and co-founder of SAFIE, a specialist in new businesses for SMEs and startups , this also exposes internal challenges. For the expert, while China has accumulated more than a decade of billions in investments and integration between the public and private sectors to gain leadership in AI, Brazil still grapples with regulatory hurdles, excessive bureaucracy, and legal uncertainty that could reduce the effectiveness of the strategy.

In this scenario, Lucas Mantovani highlights the importance of simplifying rules and reducing barriers to entry for entrepreneurs and startups. “The success of the PBIA depends less on the volume of resources and more on creating an environment conducive to innovation. The PBIA is a positive sign; it defines key areas, allocates resources, and organizes stakeholders. But the reality is that if entrepreneurs remain trapped by the regulatory 'cost of doing business in Brazil,' with multiple licenses, overlapping agencies, and legal uncertainty, innovation will not scale,” he states.

The lawyer points out that reducing bureaucracy must go hand in hand with investments. "Simplifying processes is as strategic as injecting capital. This is what attracts investors, retains talent, and ensures that new products reach the market competitively," adds Mantovani .

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