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Corporate Leaders Warn of AI Regulation Impact

New research from RoboCap reveals that 92% of board directors across FTSE 250, S&P 500, and DAX 40 companies believe stringent AI and robotics legislation is holding back innovation. Robocop is a leading investor in robotics, automation, and artificial intelligence,

RELATED: AI robotics growth speeds up: Market to hit $94b by 2031, 30% above expectations

The findings highlight concerns that restrictive regulatory frameworks are raising concerns among business leaders. They fear these rules limit companies from fully capitalising on AI and robotics.

Regulatory Pressure Threatens Global Competitiveness

According to the study, 84% of surveyed directors said restrictive AI and robotics regulations will negatively impact their companies’ global competitiveness. Nearly all (98%) of the directors also warned that companies will increasingly list in countries or relocate operations to jurisdictions with more supportive AI and robotics regulatory regimes.

AI and Robotics Strategies Driving Shareholder Value

The research further revealed that two-thirds of directors believe their AI and robotics strategy is critical to their current share price, while 34% said it is “quite important.”

Looking ahead, 100% of respondents agreed that AI and robotics strategies will become increasingly vital in the next three years, with 60% calling it “very important” and 40% “quite important.”

Jonathan Cohen, Founder and CIO of RoboCap, said:

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“A robust AI and robotics strategy is material to the success, growth, and profitability of today’s leading companies. Policymakers must create long-term plans that enable businesses to achieve their full potential. With nations competing for innovation leadership, supportive legal frameworks are essential.”

RoboCap Fund Performance and Focus

The RoboCap UCITS Fund, launched in January 2016, is a thematic equity fund. It focuses exclusively on pure-play AI, robotics, and automation listed stocks worldwide. Since inception, it has delivered a compound annualised net return (CAGR) of 14% and a net return of 250%.

The fund invests only in companies where at least 40% of revenues are derived from robotics, automation, and AI, with 85% of its current portfolio revenues directly linked to the theme. Areas of investment include:

  • AI cybersecurity & AI software
  • Industrial automation & robotics
  • Healthcare robotics
  • Autonomous vehicles & drones
  • Semiconductors & key components
  • Logistics and space robotics

Future of AI, Robotics, and Global Investment

RoboCap’s seasoned investment team, supported by a board of technology experts and entrepreneurs, is focused on capturing growth in this rapidly expanding sector. With AI adoption accelerating across industries, the need for progressive AI regulations has become central to ensuring companies can innovate, compete, and thrive in the global economy.

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