US investors have plowed billions into China’s AI sector, report shows
WASHINGTON – US investors together with the funding arms of Intel Corp. and Qualcomm Inc. accounted for almost a fifth of investments in Chinese language synthetic intelligence firms from 2015 to 2021, a report confirmed on Wednesday.
The doc, launched by CSET, a tech coverage group at Georgetown College, comes amid rising scrutiny of US investments in AI, Quantum and semiconductors, because the Biden administration prepares to unveil new restrictions on US funding of Chinese language tech firms.
In accordance with the report, 167 US investors took half in 401 transactions, or roughly 17% of the investments into Chinese language AI firms within the interval.
These transactions represented a complete $40.2 billion in funding, or 37% of the entire raised by Chinese language AI firms within the 6-year interval. It was not clear from the report, which pulled info from information supplier Crunchbase, what share of the funding got here from the US companies.
Qualcomm Ventures and Intel Capital had been concerned in 13 and 11 investments in Chinese language AI firms respectively, outpaced by GGV Capital which led US companies with 43 complete investments within the sector, the info confirmed.
The Biden administration is predicted to unveil an government order this yr curbing some US investments in delicate Chinese language tech industries, as hawks in Washington blame American investors for transferring capital and useful know-how to Chinese language tech firms that would assist advance Beijing’s army capabilities.
In accordance with the report, US investor GSR Ventures invested alongside China’s IFlytek Co. Ltd. in a Chinese language AI firm after the speech recognition agency was added to a commerce blacklist. Silicon Valley Financial institution and Wanxiang American Healthcare investments group made investments in Chinese language AI companies alongside China’s Sensetime earlier than the powerhouse in facial recognition know-how was added to the identical commerce blacklist.
Each firms had been added to the blacklist, which successfully bars them from receiving US tech exports, in 2019 for alleged human rights violations associated to the repression of Uighur Muslims.
A few of the largest investments embrace Goldman Sachs’ solo funding in 1KMXC, an AI-enabled robotics firm, in addition to an funding by three US-based VC companies in Geek+, an autonomous cell robotic firm, the report confirmed.
Just one Chinese language AI firm that obtained funding from US investors is concerned in growing AI purposes for army or public security makes use of, in keeping with CSET. – Reuters