AI NEWS FROM ASIA | HKIC partners with biotech startup, India's spending on AI projected to top $6b

Welcome back to a fresh installment of our weekly series that spotlights the most important AI developments in China and Asia.

1. Hong Kong's US$8 billion government fund, HKIC, has partnered with biotech startup Biomap to support over 50 early-stage R&D projects, leveraging AI for advancements in life sciences and boosting Hong Kong's tech hub ambitions.
2. A news study projects that India's spending on AI will reach $6 billion by 2027. The increase is driven by the adoption of AI across various sectors, including banking, professional services and manufacturing, with significant investments expected in AI technologies for IT optimization, fraud detection and customer service enhancement.
3. Google is enhancing its AI capabilities in Asia to address sustainability challenges, investing billions in data and machine learning infrastructure in Singapore and Malaysia. Their AI tools are being used for climate modeling, flood prediction and water management.
4. Generative AI is set to continue expanding significantly in Asia, with forecasting indicating that AI spending in the region will reach $49.2 billion by 2026. In 2023 alone, 22 generative AI startups in China received funding, marking the highest number globally.
5. A joint study by Microsoft and LinkedIn reveals that 88% of professionals in Hong Kong are using generative AI in their daily work. The study highlights a high level of personal investment in AI, with 86% bringing their own tools to work, and underscores the importance of AI skills in hiring decisions.

AI in Focus: Anticipating New AI Regulations in China

• New Regulations for Chinese AI: New regulations for generative AI come in to effect from August 15. These new rules aim to balance AI governance and innovation, giving non-public-facing AI applications simpler data accuracy requirements for training AI models.

Several questions are likely to arise among industry watchers, policymakers and stakeholders -

1. What specific types of non-public-facing AI applications are exempt?
2. How will data accuracy requirements be interpreted and enforced?
3. What impact will these regulations have on international AI collaborations?
4. What mechanisms will be in place for third-party evaluation of AI models?
5. Will there be any revisions or updates to the regulations in response to industry feedback?

These questions reflect the complexity and far-reaching implications of the new AI regulations and highlight the areas where stakeholders will seek clarity and guidance, ultimately determining the future landscape of AI innovation and governance in the country.

We hope you found this edition interesting and insightful—look out for our next issue for more AI news, research and analysis.

Let's continue to connect, collaborate, and drive AI innovation together!