Ammar Sabilarrohman
The Committee on Technology and Digital Affairs has formally commended the Taiwan government for its aggressive strides in advancing the nation’s technological agenda, highlighting the 2025 announcement of the “Ten Major AI Infrastructure Projects” and the introduction of the AI Basic Act. These initiatives are viewed as the bedrock for Taiwan’s long-term competitiveness and its transition into a global leader in responsible artificial intelligence and emerging technologies. However, as Taiwan moves to cement its position in the global supply chain, the Committee underscores that the resilience of its digital foundations is no longer a secondary concern but a core national imperative central to security, economic stability, and public trust.
To translate these high-level ambitions into durable outcomes, industry experts and international partners are advocating for a shift toward "resilience-by-design" digital infrastructure and a modernization of regulatory frameworks. The Committee emphasizes that while the government has laid the groundwork, the next phase of development requires sustained public-private partnerships and a move away from rigid, technology-specific mandates toward flexible, risk-based approaches. This evolution is seen as essential for Taiwan to navigate an increasingly complex geopolitical landscape and a rapidly evolving global digital economy.
Strengthening National Resilience Through Digital Architecture
The first major pillar of the proposed policy enrichment focuses on the modernization of national digital infrastructure across critical sectors, including government administration, financial services, healthcare, and essential utilities. The Committee recommends that the Taiwan government move beyond simple data backup mechanisms toward a comprehensive resilience-by-design framework. This approach mandates that continuity, recoverability, and adaptability are embedded into the design of IT systems from the very beginning.
Digital technologies now underpin almost every facet of life in Taiwan, from interbank settlements and social welfare administration to national security operations. Consequently, the resilience of these systems is inextricably linked to societal stability. Any significant disruption—whether caused by a sophisticated cyberattack, a geopolitical shock, or a natural disaster—could lead to cascading economic and reputational damage. While Taiwan has made notable progress in IT modernization over the last decade, the increasing interdependency of digital systems requires a coordinated, cross-ministerial effort to prevent fragmentation and systemic vulnerabilities.
To achieve this, the Committee suggests a public-private partnership model supported by dedicated budget allocations. This would involve structured dialogues with international technology partners who possess global experience in large-scale continuity planning. Furthermore, the Committee advocates for regular operational exercises, including joint drills and "tabletop" simulations, to identify hidden dependencies and clarify decision-making authorities before a crisis occurs. By moving from theoretical preparedness to practical, tested implementation, Taiwan can build real-world confidence in its national digital resilience.
Modernizing Privacy and Data Protection Frameworks
As Taiwan prepares for the 2026 implementation of the "Regulations Regarding the Security Maintenance and Administration of Personal Information Files in Digital Economy Industries," there is a growing call for these regulations to align more closely with international standards, such as the European Union’s General Data Protection Regulation (GDPR). The Committee has identified several areas where the current draft amendments could be refined to support innovation while maintaining high standards of privacy.
A primary recommendation is the formal definition and exclusion of Business Contact Information (BCI) from the most stringent personal data protection requirements. This aligns with global trends where information used solely for professional purposes—such as names, titles, and business emails—is handled through streamlined processing to facilitate efficient commerce.
Additionally, the Committee urges a shift toward a risk-based "harm threshold" for data breach notifications. Under this model, notification obligations would only be triggered if an incident poses a genuine risk to an individual’s rights and freedoms. This approach, combined with a 72-hour reporting window that begins only once a breach is reasonably confirmed, ensures that notifications are accurate and actionable rather than premature or overwhelming for regulators and the public.
Furthermore, the Committee suggests moving away from quantitative definitions of "high-risk" entities—which currently rely on data volume or company size—and instead focusing on the nature of the data processing. Organizations involved in large-scale profiling or automated decision-making with significant real-world effects should be prioritized for oversight, regardless of their size. This technology-neutral, outcome-based approach allows for modern security controls like multi-factor authentication and encryption to evolve alongside the technological landscape.
Harmonizing Cybersecurity Procurement and Global Standards
A critical area of concern for international industry partners is the current state of public information and communications technology (ICT) procurement. While the 2025 amendment to the Cybersecurity Management Act (CSMA) and the Ministry of Digital Affairs (MODA) regulations have strengthened security, inconsistencies remain. Specifically, some government agencies continue to apply broad country-of-origin (COO) restrictions in their procurement processes without clear technical justifications.
The Committee argues that in an era of software-defined hardware and globally distributed supply chains, a product’s manufacturing location is an increasingly unreliable indicator of its security risk. Instead, the focus should be on the entities that control the product’s code, updates, and data flows. The Committee recommends that the Public Construction Commission (PCC) harmonize its procurement guidance with MODA’s entity-based framework. This would mean focusing on banning specific high-risk brands rather than applying blanket exclusions to all products made in a specific country.
Adhering to Good Regulatory Practices (GRP) is also highlighted as a priority. The Committee welcomes the government’s ongoing dialogue with industry but recommends a standardized 60-day public consultation period for all significant law amendments. This ensures that the private sector can provide meaningful input, leading to more robust and technically sound cybersecurity standards.
Cultivating a Global Quantum Ecosystem in Taiwan
Quantum computing is approaching a "quantum advantage" inflection point, where quantum systems will outperform classical computers on specific high-value tasks. The Committee welcomes Taiwan’s Phase II Five-Year National Quantum Strategy (2027-2031), which emphasizes hardware development and research infrastructure. However, experts suggest that Taiwan must also accelerate innovation in quantum software, algorithms, and application development to remain competitive.
A robust quantum ecosystem requires more than just hardware; it necessitates a network of research institutions, startups, and industrial users working on real-world use cases. The Committee recommends that international collaboration be a core pillar of the Phase II strategy. By aligning with globally recognized standards and certification regimes, Taiwan can ensure interoperability and talent development.
Moreover, the threat posed by future quantum computers to current encryption standards—often referred to as "Q-Day"—requires a unified national strategy for quantum-safe cryptography. The Committee urges the creation of a cross-agency task force involving digital affairs, finance, and national security authorities to oversee a phased migration to quantum-safe systems. This "strategic transformation" should begin with "no-regret" actions, such as cryptographic asset discovery, to ensure Taiwan’s digital ecosystem remains resilient against the systemic risks of the quantum era.
Chronology of Taiwan’s Tech Policy Evolution (2024–2031)
- 2024: Initiation of the AI Basic Act drafting process and preliminary discussions on the National Quantum Strategy.
- 2025: Official launch of the "Ten Major AI Infrastructure Projects" and passage of the Cybersecurity Management Act amendments.
- 2026: Scheduled implementation of the revised Personal Data Protection Act (PDPA) enforcement rules.
- 2027: Commencement of the Phase II Five-Year National Quantum Strategy, focusing on hardware-software integration.
- 2028–2030: Expected pilot programs for quantum-safe migration in critical financial and government sectors.
- 2031: Target for the completion of the Phase II Quantum Strategy and establishment of a fully operational national quantum research network.
Analysis of Implications: Security and Economic Growth
The recommendations put forward by the Committee reflect a broader global trend toward "strategic autonomy" and "digital sovereignty." For Taiwan, these policies carry dual significance. Economically, by adopting risk-based and globally aligned regulations, Taiwan makes itself a more attractive destination for international investment and a more seamless partner in global tech alliances.
From a security perspective, the shift to a resilience-by-design model is a direct response to the unique threats Taiwan faces. By embedding security into the architecture of its digital society, Taiwan reduces the potential leverage of external actors who might seek to disrupt the island’s stability through cyber warfare. The focus on "entity-based" rather than "origin-based" procurement also reflects a sophisticated understanding of modern supply chain risks, ensuring that Taiwan remains protected without cutting itself off from the global manufacturing ecosystem.
Ultimately, the success of these initiatives will depend on the government’s ability to maintain a transparent and collaborative relationship with the private sector. As AI and quantum computing continue to redefine the boundaries of what is possible, the agility of Taiwan’s regulatory environment will be just as important as the strength of its semiconductor foundries. By embracing these suggestions, Taiwan can ensure that its technological leadership is not only maintained but expanded in the decades to come.
Suro Senen
