Project McCarthy

2025

The Sovereignty Paradox in Distributed AI Systems

When AI systems operate across borders simultaneously, who really controls them? Data privacy laws promise territorial control over technologies that exist everywhere and nowhere at once. Our research exposes why Europe's €200 billion AI infrastructure investment cannot govern a healthcare algorithm that operates on UK websites, French servers running American hardware, and Saudi smartphones simultaneously. The mathematics of distributed AI makes conventional sovereignty impossible, but workable alternatives exist.

Data sovereignty promises control that mathematics makes impossible. When personal information becomes training data, then statistical weights, then algorithmic decisions deployed globally, traditional governance frameworks collapse. Mathematical objects exist everywhere and nowhere simultaneously, beyond meaningful territorial control. Our research reveals why pursuing impossible sovereignty goals undermines achievable protection mechanisms.

Europe's €200 billion AI gigafactory bet exemplifies sovereignty theatre: massive investment in training infrastructure that provides zero governance capability over distributed deployment. Physical infrastructure ownership cannot govern mathematical objects that transcend borders. This disconnect between investment strategy and governance capability demonstrates the fundamental misunderstanding of how distributed AI systems actually operate.

A healthcare AI trained in Brussels operates simultaneously on German devices, French servers, and American smartphones, each beyond meaningful territorial control. Traditional regulatory frameworks assume static, location-bound systems that can be governed through physical jurisdiction. Distributed AI systems render these assumptions obsolete, creating governance gaps that undermine both democratic oversight and practical protection mechanisms.

The sovereignty paradox reveals a choice between democratic legitimacy and technocratic drift. Instead of chasing comprehensive control, we can build specific, implementable constraints: cryptographic residency enforcement, algorithmic transparency requirements, community participation in governance design. Success requires abandoning comfortable fictions about territorial control and embracing the difficult work of governing post-territorial technologies through frameworks that honour both democratic values and engineering realities.

John McCarthy (1927-2011)

John McCarthy was a pioneering American computer scientist and cognitive scientist, best known as one of the founding figures of artificial intelligence (AI). Born in 1927, he coined the term "artificial intelligence" in 1956 and organized the Dartmouth Conference, which marked the birth of AI as a field. McCarthy also developed the LISP programming language, which became a key tool in AI research. He spent much of his career at Stanford University, contributing significantly to logic, computation, and machine learning. McCarthy envisioned intelligent machines and promoted ideas like time-sharing in computing, influencing generations of researchers and shaping modern computer science.

“The important thing is not to stop questioning. Curiosity has its own reason for existing.” Albert Einstein