Venezuela Joins China-Led AI Bloc, Prompting Calls for a U.S. Strategy

In July, Venezuela joined as a founding participant of the World Artificial Intelligence Cooperation Organization (WAICO), an intergovernmental body created by China and based in Shanghai, alongside Russia, Belarus, Cuba, Brazil and 24 other nations. While Venezuela is not an AI powerhouse, its enormous energy assets—approximately 303 billion barrels of proven oil reserves, about 70 percent of Latin America’s and the Caribbean’s natural-gas reserves, extensive hydroelectric capacity and several gigawatts of stranded power—could give it a comparative advantage in supplying electricity for AI workloads.

The author contends that American companies need a pathway to convert this energy into computing capacity and urges Washington to devise a strategic response. The piece highlights the potential shift in the global AI infrastructure landscape that the alliance could create, warning that neglecting Venezuela’s resource base may leave the United States at a competitive disadvantage.