China's trillion-yuan bet: Bank's bold AI push to compete globally
On January 23, the Bank of China presented the "Action Plan for Supporting the Development of the Artificial Intelligence Industry Chain." Over the next five years, the bank will allocate at least 1 trillion yuan, or 130 billion dollars, for financial support to entities in the AI sector.
During the event in Beijing, Ge Haijiao, Chairman of the Bank of China, highlighted the growing importance of large AI models and generative artificial intelligence, which are becoming a key driver of economic development and a strategic element of national security.
The "Action Plan" includes support at all stages of the AI value chain—from providing key resources and technological innovations to industrial implementations. The goal is to create an integrated financial support system that will enable the dynamic development of this sector, the bank stated.
By the end of 2024, the Bank of China had granted loans totaling 1.91 trillion yuan (262 billion dollars) to more than 100,000 technology companies. The institution also aims to increase its support for key technology enterprises and contribute to overcoming challenges in critical strategic technology sectors.
As mentioned in the announcement, during the event, the "BOC Sci-Tech Innovation+" partnership program was launched to support the AI ecosystem's development. This initiative included leaders from the technology sector, including Huawei, Tencent, Baidu, iFlytek, and representatives from key government and research institutions.
The program focuses on key areas such as:
- Technological self-sufficiency: The priority is to support strategic technology resources and overcome barriers in critical areas.
- Promoting AI innovation: The Bank of China intends to support AI technology development by providing the necessary resources and funding.
- AI applications: Creating industrial systems and promoting the practical deployment of AI technology in various sectors.
AI industry arms race
Piotr Sankowski from the University of Warsaw pointed out the "arms race" between China and the USA in the AI industry on LinkedIn. The institution also aims to increase its support for key technology enterprises and contribute to overcoming challenges in critical strategic technology sectors.
Remember that President Donald Trump and the heads of Japan's Softbank, Oracle Corporation, and OpenAI announced the Stargate project at the White House. These giants will invest up to 500 billion dollars in building data centers and the architecture needed to develop artificial intelligence.
As Trump said during his speech at the White House, the company heads decided to establish a joint venture that will invest at least 100 billion, and in the long term up to 500 billion dollars over four years in building data centers in America and contribute to the creation of 100,000 jobs.
This monumental undertaking is a resounding declaration of confidence in America's potential under a new president, said Trump.
