FOMO isn’t just a Gen Z problem anymore, it’s now a full-blown government syndrome in China. Provinces across the country have plunged headfirst into a high-stakes tech race, pouring billions into AI labs, data centers, and EV factories. Everyone wants to become the next Silicon Valley or Tesla, at the same time.
But while local officials are busy throwing money at anything that says “future”, President Xi Jinping is pushing back hard. In a recent critique reported by the Financial Times, Xi labelled many of his own bureaucrats as “three-pats officials”—those who think fast, act faster, and then disappear when the plan collapses.
Too Much, Too Fast
The numbers are staggering. China’s AI investment will reach $98 billion by 2025, a 48% jump from last year, with over half funded by the government. Even remote provinces like Inner Mongolia are building data centers, regardless of local demand.
In the EV space, 13 million electric cars were made last year, but the production capacity is a jaw-dropping 40 million. The result? A brutal price war and a flood of cheap EVs hitting international markets, triggering accusations from the US and EU of global market distortion.
The Hidden Cost of the Tech Rush
While this tech FOMO unfolds, local governments are drowning in over $8 trillion in hidden debt. Salaries are being cut. Businesses are facing surprise fines. And citizens? They’re paying the price. Xi’s message is clear: this frenzy is not just inefficient—it’s dangerous.
From Chaos to Central Command
A policy shift is now in the making. Instead of “every province for itself,” Beijing may take tighter control. And while China course-corrects, other countries like India would be wise to watch—and learn. Betting big on future tech is smart. But doing it blindly is not.
