AI and Emerging Technologies in Digital Government: Opportunities, Risks, and Citizen Sentiment

Australia’s public sector stands at a pivotal moment. The rapid integration of artificial intelligence (AI), augmented reality (AR), and other emerging technologies is transforming how government services are delivered and experienced. As digital government becomes the norm, understanding the opportunities, risks, and evolving citizen sentiment is essential for building a future-ready, trusted, and inclusive public sector.

The Promise of AI and Emerging Technologies

Emerging technologies are redefining what’s possible in public service delivery. AI is enabling more personalized, efficient, and proactive government interactions. Agencies are leveraging advanced analytics to anticipate citizen needs, automate routine processes, and deliver targeted support at critical life moments—such as starting a family, changing jobs, or managing health events. AR and Web 3.0 are opening new frontiers for immersive, interactive, and decentralized services, from visualizing complex data to supporting remote education and training.

Australians are increasingly open to these innovations. Recent research shows that 63% of citizens have practical knowledge of emerging technologies, and 75% of those are likely to use government services built on these platforms. Generative AI is gaining traction, with 40% of Australians having used it in the past year and 21% using it weekly. Importantly, 55% of citizens support the use of AI to improve government services, especially among younger and more tech-savvy demographics.

Personalization, Efficiency, and the Citizen Experience

AI’s greatest promise lies in its ability to personalize and streamline the citizen experience. Most Australians are comfortable with digital services that remember their details or tailor offerings based on personal information. For example, 83% are comfortable with government services that recall previous interactions, and 78% are open to personalized content based on employment status or income. Automated recommendations—such as health screenings based on age or risk factors—are widely supported.

This appetite for personalization is matched by a desire for convenience and efficiency. Citizens value digital services that save time, reduce bureaucracy, and provide seamless access across life events. The shift toward life-event-centric service design—where multiple agencies collaborate to support citizens at key moments—has been a hallmark of Australia’s digital transformation. Integrated digital journeys, such as those pioneered by the New South Wales government, are setting new standards for accessibility and satisfaction.

Citizen Sentiment: Openness, Caution, and the Trust Imperative

While enthusiasm for emerging technologies is high, it is tempered by caution. Australians expect strong governance, transparency, and ethical oversight—especially as AI becomes more embedded in public sector operations. A vast majority (94%) want clear regulation of AI, and nearly half of citizens desire full transparency into the code and decision-making processes behind AI systems. Concerns are particularly acute among those with recent mental health struggles or precarious finances.

Trust is the linchpin of digital government adoption. Despite high satisfaction rates, recent high-profile data breaches and concerns about data privacy have led to a sharp decline in public confidence. Over half of Australians now express doubts about the government’s ability to protect their data, with trust deficits most pronounced among younger citizens and vulnerable groups. When citizens worry about privacy and security, their enthusiasm for digital services—and especially for AI-driven innovations—diminishes.

Risks: Data Privacy, Algorithmic Bias, and the Digital Divide

The integration of AI and emerging technologies brings significant risks that must be proactively managed:

Data Privacy and Security: Citizens are wary of privacy breaches, misuse of personal data, and the risks of storing information in centralized databases. Robust data governance, clear communication, and regular updates on security measures are essential.
Algorithmic Bias: AI systems can inadvertently perpetuate or amplify biases, leading to unfair outcomes. Transparent, ethical frameworks and ongoing monitoring are critical to ensure equity and accountability.
Widening Digital Divide: Not all Australians benefit equally from digital transformation. Lower-income households, the unemployed, older citizens, and those in regional or remote areas are less likely to engage with digital services and more likely to report negative experiences. Barriers include limited digital literacy, poor infrastructure, and lack of awareness.

Responsible Innovation: Building Trust and Inclusion

To harness the full potential of AI and emerging technologies, government agencies must adopt a holistic, citizen-centric approach:

Prioritize Digital Inclusion: Expand digital literacy and inclusion programs, invest in infrastructure, and design services that are accessible to all—regardless of income, education, or geography. Omnichannel support, including phone and in-person assistance, remains vital for those unable or unwilling to use digital channels exclusively.
Strengthen Governance and Transparency: Implement robust ethical frameworks for AI, with clear guidelines on data use, algorithmic transparency, and citizen engagement. Regularly communicate how technologies are used and what safeguards are in place.
Foster Public Trust: Address privacy and security concerns head-on. Limit data sharing to what is necessary, and provide citizens with control over their information. Build trust incrementally, starting with simple, high-value digital transactions.
Engage Citizens in Co-Design: Involve diverse communities in the design and oversight of digital services, ensuring that solutions reflect real needs and concerns. This is especially important for vulnerable groups and those with unique accessibility requirements.
Monitor and Adapt: Stay attuned to societal and technological trends, using data-driven insights to anticipate emerging needs and adapt strategies accordingly.

The Path Forward

Australia’s digital government journey illustrates both the promise and the pitfalls of rapid technological change. AI, AR, and other emerging technologies can deliver more connected, personalized, and resilient public services—but only if innovation is balanced with inclusion, transparency, and trust. By investing in digital equity, ethical governance, and citizen engagement, government agencies can accelerate digital adoption, close the digital divide, and deliver lasting value for every Australian.

Ready to shape the future of public sector innovation? Connect with Publicis Sapient’s experts to explore how responsible, citizen-centric digital transformation can deliver better outcomes for your community.