The Hong Kong government has earmarked $3 billion Hong Kong dollars (equivalent to $383 million USD) for its Cyberport business park, unveiling a three-year artificial intelligence (AI) subsidy scheme. The announcement came as part of the 2024 budget address delivered by Paul Chan, Hong Kong’s financial secretary, on Wednesday, Feb. 28. The initiative is designed to empower local universities, research institutes, and businesses by leveraging the advanced computing capabilities of the new AI Supercomputing Centre. Chan underscored the pivotal role of AI in propelling technological and industrial transformation, thereby catalyzing Hong Kong’s digital economy.
By channeling funds into the AI Supercomputing Centre, the government aims not only to bolster local entities but also to fortify cybersecurity and data protection measures. Additionally, it seeks to position Hong Kong as a magnet for global AI expertise, enterprises, and research endeavors. Chan outlined that the AI Supercomputing Centre is slated to commence operations this year and is anticipated to ramp up its computing power to 3,000 petaflops by early 2026.
This colossal processing capability, estimated to handle nearly 10 billion images per hour, underscores Hong Kong’s commitment to AI innovation. The subsidy scheme is set to roll out in tandem with the establishment of the AI Supercomputing Centre in 2024. Subsidy amounts will be determined based on applicant categories, adhering to a user-pays principle without an aggregate subsidy cap.
Furthermore, as part of its commitment to fostering education and research excellence, the government has allocated HK$100 million ($12.7 million USD) for a startup fund. This fund aims to support self-financing post-secondary institutions in forming an Alliance of Universities in Applied Sciences, with a view to advancing vocational and professional education and training. In a bid to galvanize advancements in life and health technology, HK$6 billion ($766 million USD) has been allocated to establish research institutes at eight local universities.
These institutes will collaborate with counterparts from mainland China and overseas to spur innovation and attract top-tier talent. The funding, sourced from the HK$10 billion ($1.2 billion USD) budget allocated in 2023, underscores Hong Kong’s commitment to nurturing a robust ecosystem for research and development. Eligibility for the scheme is expected to be confined to institutions affiliated with the eight subsidized local universities, with plans to extend support to three institutions in the long run.
Hong Kong’s proactive stance toward AI integration is evidenced by its initiatives in health technology. Notably, the city’s hospital authority has leveraged AI to address the emergence of two superbugs, showcasing the pivotal role of technology in healthcare innovation. As Hong Kong positions itself at the forefront of AI development, these strategic investments underscore its commitment to fostering innovation and propelling economic growth in the digital age.