Shanghai Artificial Intelligence Investment Fund was launched at the closing ceremony of the 2019 World Artificial Intelligence Conference in Shanghai on Aug 31.

The establishment of the fund is an important measure to implement the achievements of the conference and to accelerate the overall strategy of high-quality development of the Shanghai artificial intelligence (AI) industry. It will initially be valued at 10 billion yuan ($1.44 billion), with plans to increase this to 100 billion yuan by adhering to a market-oriented, professional and international operation system.

The Fund was initiated and is led by Guosheng Group and Lingang Group. Guosheng Group is a State-owned platform in Shanghai, and Lingang Group is the development company of Lin-gang Special Area and the central zone of the Shanghai Science and Technology Entrepreneurship Center.

Dai Minmin, vice-president of Shanghai Guosheng Group, said that the fund would focus on the core technologies and key applications of artificial intelligence (AI). "The companies we invest in should represent the world's leading AI trends and provide support for the layout of Shanghai's AI industrial base," he said.

The fund will base itself in Shanghai and is committed to creating a platform for the communication, connection and integration of various elements for the development of Shanghai's AI sector, constructing an industry chain and ecosphere closely integrated with international top technologies and wide local applications, focusing on innovative strategies, application demonstration, system supply and talent gathering, and accelerating the building of "Shanghai Highland" for AI development.

The fund is also the first industrial fund to settle in Lin-gang Special Area.

"AI is a key industry supported by Lin-gang Special Area," Dai said. "Lin-gang Area has issued forward-looking policies, and the State will also introduce supporting policies. All these financial supporting policies provide a good environment for the development of banks, securities, insurance and funds.

Which enterprises can receive support from the Shanghai AI Industry Investment Fund?

"We focus on those AI-related enterprises headquartered in Shanghai or with their main business operating in Shanghai," Dai said.

He added that the fund had built a good platform for overseas projects and for projects in other Chinese cities to settle in Shanghai.

"The difference between Shanghai AI Investment Fund and other industry investment funds is that we are able to provide enterprises with corresponding resources."