5 minEconomic Concept
Economic Concept

Critical and Emerging Technologies

What is Critical and Emerging Technologies?

Critical and Emerging Technologies (CETs) are technologies that are potentially transformative, have broad applications across multiple sectors, and can significantly impact economic competitiveness, national security, and societal well-being. These technologies are often characterized by rapid development, uncertainty, and the potential for disruption. The focus is on technologies that are not yet fully mature but are expected to have a major impact in the near future. The purpose of identifying and prioritizing CETs is to guide research and development investments, inform policy decisions, and promote international cooperation to ensure that countries can benefit from these technologies while mitigating potential risks. These technologies span various fields, including artificial intelligence, biotechnology, quantum computing, advanced materials, and space technologies.

Historical Background

The concept of identifying and prioritizing critical technologies gained prominence in the late 20th century, driven by concerns about economic competitiveness and national security in the face of rapid technological advancements. In the 1980s, the United States began to identify critical technologies to maintain its technological edge during the Cold War. After the Cold War, the focus shifted towards economic competitiveness and the need to promote innovation. The rise of globalization and the increasing interconnectedness of economies further emphasized the importance of identifying and developing CETs. In the 21st century, various countries and international organizations have developed their own lists of CETs, reflecting their specific priorities and strategic interests. These lists are regularly updated to reflect the evolving technological landscape. For example, the European Union has identified key enabling technologies (KETs) as drivers of innovation and economic growth. India has also recognized the importance of CETs for its economic development and national security, leading to increased investments in research and development in these areas.

Key Points

12 points
  • 1.

    CETs are characterized by their potential for disruptive innovation. This means they can fundamentally alter existing industries, create new markets, and render existing technologies obsolete. For example, the development of blockchain technology has the potential to disrupt traditional financial systems and supply chain management.

  • 2.

    These technologies often require significant investment in research and development. Governments and private sector organizations must allocate resources to support the development and deployment of CETs. For instance, countries like South Korea and Germany invest heavily in R&D to maintain their competitive edge in areas like semiconductors and advanced manufacturing.

  • 3.

    International collaboration is crucial for the development and deployment of CETs. Sharing knowledge, resources, and best practices can accelerate innovation and address common challenges. The India-Israel partnership on critical and emerging technologies, focusing on AI and quantum technologies, exemplifies this.

  • 4.

    CETs raise important ethical and societal considerations. Issues such as data privacy, algorithmic bias, and the potential displacement of workers need to be addressed to ensure that these technologies are used responsibly. The EU's approach to regulating AI, emphasizing human rights and ethical principles, is an example of this.

  • 5.

    Supply chain security is a key concern related to CETs. Dependence on a limited number of suppliers for critical components can create vulnerabilities. Diversifying supply chains and promoting domestic production are important strategies to mitigate this risk. The global semiconductor shortage during the COVID-19 pandemic highlighted the importance of supply chain resilience.

  • 6.

    Cybersecurity is a critical aspect of CETs. As these technologies become more interconnected, they also become more vulnerable to cyberattacks. Robust cybersecurity measures are needed to protect critical infrastructure and sensitive data. The rise in ransomware attacks targeting critical infrastructure underscores this need.

  • 7.

    Workforce development is essential to ensure that countries have the skilled workers needed to develop and deploy CETs. Investments in education and training programs are needed to prepare workers for the jobs of the future. Germany's dual vocational training system, which combines classroom learning with on-the-job training, is a model for workforce development.

  • 8.

    CETs often have dual-use applications, meaning they can be used for both civilian and military purposes. This raises concerns about the potential for these technologies to be used for malicious purposes. Export controls and other measures are needed to prevent the misuse of CETs. The Wassenaar Arrangement is an international agreement that controls the export of dual-use goods and technologies.

  • 9.

    Intellectual property protection is crucial to incentivize innovation in CETs. Strong patent laws and other measures are needed to protect the investments of companies and researchers. The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) is an international agreement that sets minimum standards for intellectual property protection.

  • 10.

    The identification of CETs is not static; it evolves with technological advancements. Regular reviews and updates are needed to ensure that the list of CETs remains relevant and reflects the changing technological landscape. For example, technologies like synthetic biology and nanotechnology are increasingly being recognized as CETs.

  • 11.

    India's approach to CETs involves a focus on 'Atmanirbhar Bharat', promoting self-reliance in critical technologies. This includes initiatives to boost domestic manufacturing, encourage R&D, and attract foreign investment in key sectors. The Production Linked Incentive (PLI) scheme is an example of this.

  • 12.

    UPSC often tests candidates on their understanding of the implications of CETs for India's economic development, national security, and foreign policy. Questions may focus on specific technologies, such as AI or quantum computing, or on broader issues such as technology transfer and cybersecurity.

Visual Insights

Critical and Emerging Technologies (CETs)

This mind map outlines the key aspects of Critical and Emerging Technologies, their implications, and related considerations.

Critical and Emerging Technologies (CETs)

  • Key Characteristics
  • Ethical & Societal Implications
  • India's Approach
  • International Collaboration

Recent Developments

5 developments

In 2026, India and Israel elevated their ties to a 'Special Strategic Partnership', focusing on collaboration in critical and emerging technologies, including artificial intelligence, quantum technologies, and critical minerals.

In 2025, the Indian government launched a new initiative to promote research and development in quantum technologies, with a budget of ₹8,000 crore over five years.

In 2024, the Ministry of Electronics and Information Technology (MeitY) released a draft policy on data governance, addressing issues related to data privacy and security in the context of AI and other CETs.

In 2023, India joined the Global Partnership on Artificial Intelligence (GPAI), an international initiative to promote the responsible development and use of AI.

Currently, discussions are ongoing regarding the implementation of export controls on sensitive technologies to prevent their misuse, aligning with international norms and agreements like the Wassenaar Arrangement.

This Concept in News

1 topics

Frequently Asked Questions

12
1. Why does the government focus on 'Critical' AND 'Emerging' technologies – aren't they the same thing? What's the real difference for policy?

While related, 'Critical' technologies are essential for current national security and economic stability, needing immediate safeguarding. 'Emerging' technologies are still developing but have the potential to become critical in the future. The policy difference is that critical technologies need immediate protection and investment, while emerging technologies need nurturing and monitoring to realize their potential and mitigate risks.

2. In an MCQ, what's the most common trap regarding the scope of 'Critical and Emerging Technologies' – what do students mistakenly include or exclude?

The most common trap is confusing CETs with general technological advancements. Students often mistakenly include well-established technologies (like basic software or traditional manufacturing) or exclude niche but potentially transformative technologies (like synthetic biology or advanced materials). Remember, CETs are *potentially* disruptive and have broad applications across sectors.

Exam Tip

Focus on the 'disruptive potential' and 'broad application' aspects. If a technology is already widespread or very narrowly focused, it's likely NOT a CET.

3. Why is 'supply chain security' such a big deal when we talk about Critical and Emerging Technologies? Give a real-world example.

CETs often rely on specialized components or materials sourced from a limited number of suppliers, potentially creating vulnerabilities. The global semiconductor shortage during the COVID-19 pandemic is a prime example. It disrupted industries worldwide, highlighting the risk of relying on a few suppliers for critical components needed for everything from cars to smartphones.

4. India and Israel have a 'Special Strategic Partnership' focusing on CETs. What SPECIFICALLY does this partnership aim to achieve that India couldn't do alone?

The partnership leverages Israel's advanced capabilities in areas like AI, quantum computing, and cybersecurity, complementing India's strengths in software development and large-scale manufacturing. Specifically, it aims to accelerate joint R&D, facilitate technology transfer, and create secure supply chains – things that would be slower and more difficult for India to achieve independently.

5. The Wassenaar Arrangement is mentioned in the context of CETs. What is it, and why is it relevant to India's approach to these technologies?

The Wassenaar Arrangement is an international export control regime that regulates the transfer of dual-use goods and technologies. It's relevant because India, while not a member, is increasingly aligning its export control policies with Wassenaar norms to prevent the misuse of sensitive technologies and ensure responsible innovation, especially given the dual-use potential of many CETs.

6. What is the biggest ethical concern surrounding the development and deployment of AI, and how are governments trying to address it in the context of CETs?

Algorithmic bias is a major ethical concern. AI systems can perpetuate and amplify existing societal biases if the data they are trained on is biased. Governments, like the EU, are trying to address this through regulations that emphasize fairness, transparency, and accountability in AI systems, ensuring that these technologies are used responsibly and do not discriminate against certain groups.

7. The government has launched various policies like the 'National Strategy for Artificial Intelligence'. How do these policies specifically promote the development of CETs?

These policies promote CETs by providing funding for research and development, creating a supportive regulatory environment, encouraging public-private partnerships, and fostering workforce development. For example, the National Strategy for AI aims to create a skilled AI workforce and promote the adoption of AI in various sectors, which directly contributes to the development and deployment of AI-related CETs.

8. What is a common MCQ mistake related to the legal frameworks governing CETs in India? What specific acts or policies are often confused?

A common mistake is confusing the Information Technology Act, 2000 with policies specifically targeting AI or quantum technologies. While the IT Act provides a general framework for cybersecurity and data protection, it doesn't address the unique challenges and opportunities presented by CETs like AI. Students often incorrectly assume the IT Act is sufficient for regulating all aspects of CETs.

Exam Tip

Remember that the IT Act is a *general* law. Look for policies with 'AI', 'Quantum', or 'Electronics' in the name when a question asks about *specific* CET regulations.

9. Critics argue that focusing too much on 'national security' aspects of CETs can stifle innovation. What's their strongest argument, and how would you respond to it?

Critics argue that strict export controls and regulations, driven by national security concerns, can limit collaboration, slow down research, and make it harder for domestic companies to compete globally. A balanced approach is needed. While national security is paramount, policies should also promote open innovation, international collaboration, and the free flow of information to foster a vibrant CET ecosystem.

10. India has invested ₹8,000 crore in quantum technologies. What specific outcomes is this investment hoping to achieve in the next 5-10 years?

This investment aims to develop quantum computers, secure quantum communication systems, and quantum sensors. Specific outcomes include creating a quantum-enabled communication network for secure data transmission, developing quantum algorithms for solving complex problems in areas like drug discovery and materials science, and establishing a domestic quantum technology industry.

11. Why do students often confuse 'dual-use' technologies with 'military-only' technologies, and how can you avoid this mistake in the exam?

'Dual-use' technologies have both civilian and military applications, while 'military-only' technologies are exclusively for military purposes. The key difference is the *potential* for civilian use. In the exam, look for keywords like 'civilian applications', 'commercial use', or 'non-military purposes' to identify dual-use technologies.

Exam Tip

If the description mentions ANY potential civilian benefit, it's dual-use, even if it also has military applications.

12. How does India's approach to regulating AI (a key CET) compare to that of the European Union? What are the key differences and potential advantages/disadvantages of each?

The EU takes a more regulatory approach, emphasizing human rights and ethical principles with laws like the AI Act. India currently favors a more flexible, less prescriptive approach, focusing on promoting innovation and self-regulation. The EU approach may offer stronger safeguards but could stifle innovation, while India's approach may encourage faster development but risks inadequate protection of rights and safety.

Source Topic

India and Israel Strengthen Ties with New Bilateral Agreements

International Relations

UPSC Relevance

Understanding Critical and Emerging Technologies is crucial for the UPSC exam, particularly for GS Paper III (Economy, Science & Technology) and GS Paper II (International Relations). Questions often relate to the impact of these technologies on India's economic growth, national security, and foreign policy. In Prelims, expect factual questions about specific technologies and related government initiatives.

In Mains, analytical questions may require you to discuss the ethical implications of AI, the challenges of technology transfer, or the role of CETs in shaping India's strategic partnerships. Recent years have seen an increased focus on topics like AI, cybersecurity, and supply chain resilience. When answering, provide a balanced perspective, highlighting both the opportunities and challenges associated with CETs.

Critical and Emerging Technologies (CETs)

This mind map outlines the key aspects of Critical and Emerging Technologies, their implications, and related considerations.

Critical and Emerging Technologies (CETs)

Disruptive Potential

Rapid Development

Data Privacy Concerns

Workforce Displacement

Atmanirbhar Bharat Focus

R&D Investment

Knowledge Sharing

Resource Pooling