Abstract

Public funding plays a pivotal yet often overlooked role in shaping AI development, especially in Latin America. Drawing on sociological theories of performativity, we analyze 205 AI projects funded by Chile’s key public agencies, related to research, entrepreneurship, and creation, over the past decade. Through content analysis combined with a qualitative, heuristic procedure, we characterize five dominant narratives across state-funded AI projects, seeking to interpret the social meanings embedded within their descriptions considering their situated context. This method informs the articulation of five narratives: AI for productivity gains, as a transformative force, as a literacy need, for smart surveillance, and as situated and creative inquiry. Our findings reveal that AI for productivity gains has strongly dominated over the last decade. We argue that this narrative functions as a strategic mechanism for aligning legacy institutional interests with those of the actors seeking funding. By framing public funding as performative, this paper contributes to debates on how state-led narratives help shape technological development’s trajectory. It also emphasizes the interconnectedness of actors, political economy, and socio-technical dynamics concerning AI’s future. © The Author(s) 2025