Victoria has put out a notice that it plans to be Australia’s capital for digital infrastructure, data capacity, and adoption of artificial intelligence. The state has released a plan to develop and adopt AI “responsibly and ethically,” in a move that comes as the government recognises the rapid uptake of advanced and emerging technology by workplaces, households, and schools.  Related Article Block Placeholder Article ID: 328802 “Devastating decision”: Founders backed by Alice Anderson Fund criticise LaunchVic’s closure David Adams The statement outlines how AI is rapidly reshaping industries and institutions and plots a way for this trend to also drive innovation, boost productivity, attract and facilitate investment, and stimulate economic growth across the state.  Minister for Economic Growth and Jobs Danny Pearson said the plan aimed to establish Victoria as a national leader in AI development, adoption and infrastructure that was safe, trusted and supported by a skilled workforce. “We’re embracing AI with the same bold ambition that has made Victoria a global innovation leader, paving the way for our state to become the nation’s capital of AI,” Pearson said.  Smarter business news. Straight to your inbox. For startup founders, small businesses and leaders. Build sharper instincts and better strategy by learning from Australia’s smartest business minds. Sign up for free. * indicates required Email Address * By continuing, you agree to our Terms & Conditions and Privacy Policy. “Our AI mission statement outlines how Victoria will seize the potential of AI to accelerate innovation, lift productivity and grow our economy.” The mission statement is supported by a $5.5 million action plan for sustainable data centres to cement Victoria’s reputation as a regional hub in the Asia Pacific for such infrastructure, and a $8.1 million AI career conversion program to help at-risk industries upskill workers to take on AI roles as technology specialists.  About 188 local AI companies are based in Victoria, and Melbourne boasts the largest concentration (22%) of all clustered AI firms in Australia. The minister added that the government was modelling the adoption of AI across the public sector to lead by example and show the economy how best to drive the responsible uptake of the technology. “In close partnership with industry, we will harness AI to boost productivity, foster innovation, and create new opportunities,” Pearson said. “We are committed to cultivating our local AI ecosystem — backed by the right policy settings, strategic investment, cutting‑edge infrastructure, and highly skilled workforce “Whether in industry, education, government or the broader community, we’re supporting Victorians to adopt and benefit from AI — responsibly, inclusively, and confidently.” Public sector adoption is one of six strategic pillars that have been identified as underpinning the mission statement.  The statement notes that wider adoption of AI in the Victorian public sector,  beyond the early stages of use by departments and agencies, can improve government service quality and efficiency, meeting growing demand for “fast, reliable digital-first services” and uplift VPS productivity. Related Article Block Placeholder Article ID: 330794 NSW pauses innovation council appointments, offers few details on next steps Tegan Jones One of the featured case studies of public sector AI adoption in the statement is a pilot of VicGov Chat, an AI chatbot deployed by the Department of Government Services in partnership with Cenitex. “The tool can help workers quickly and easily summarise documents, get tailored advice on internal policies, and help with preparing documents,” the document explained. “The pilot engaged 1,000 users across multiple departments, led by the Department of Government Services.  “The pilot was highly successful with around 80% of users reporting that VicGov Chat saved them time and reduced inefficiencies, ensuring that Victorians benefit from a public service that can focus on high-value tasks to deliver the services that matter.” The AI mission statement aligns with Victoria’s economic growth statement, which sets out how the state will stimulate innovation and strengthen competitive advantage across five priority sectors.  These include digital technologies, agribusiness, the circular economy, health technologies and medical research, as well as advanced manufacturing and defence.  Treasury estimates that AI has the potential to generate up to $30 billion in GSP for Victoria over the next decade via increased labour capacity, automation and efficiency, new products and services, and faster scientific and technological progress.  The state has made a further $10 million investment in the Australian Centre for Artificial Intelligence in Medical Innovation.  This article was first published by The Mandarin. 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