Shenzhen’s $1B Fund Fuels AI Hardware Startups’ Growth

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Shenzhen’s Bold Leap into AI Hardware: A New Era of Investment and Innovation

Unveiling New Investment Funds

Shenzhen, China’s southern technology powerhouse, is positioning itself as a leading player in the global artificial intelligence (AI) hardware sector. Recently, the city announced an ambitious initiative—two new investment funds totaling 7 billion yuan (approximately US$1 billion)—designed to nurture start-ups focused on robotics and cutting-edge smart devices. This significant financial boost reflects the city’s commitment to driving innovation in AI technologies, positioning itself at the forefront of the global tech landscape.

The Global AI Terminal Expo 2025

These funds were unveiled during the Global AI Terminal Expo 2025, which kicked off on a Thursday, showcasing an impressive array of exhibits from over 300 smart hardware companies. The event, organized by the Shenzhen Artificial Intelligence Association in collaboration with the municipal Industry and Information Technology Bureau and the Shenzhen Artificial Intelligence Industry Office, serves as a platform for national and international players alike to display the latest advancements in AI and robotics.

Huawei’s Groundbreaking Launch

One of the standout presentations at the expo came from Huawei Technologies, highlighting its groundbreaking foldable tablet powered by HarmonyOS. This innovative device marks a significant leap for Huawei, developed after the company grappled with losing access to key software services, including Google and Microsoft. Presales commenced just days prior, setting the stage for shipments to begin by June 6, solidifying Huawei’s commitment to innovation in the face of adversity.


Photo: Coco Feng

The Rise of Humanoid Robotics

In addition to Huawei, UBTech Robotics, a Hong Kong-listed company specializing in humanoid machines, introduced its latest creation, Meng UU—a smart, palm-sized doll capable of interacting with users through embedded AI technology. This development underscores the rapid growth of humanoid robotics—a sector increasingly influencing everyday life and consumer behavior.

Quadruped Robotics Innovation

Further diversifying the robotics landscape, EngineAI, a local Shenzhen firm, showcased its first-ever quadruped robot, expanding from its previous focus on bipedal machines. Notably, EngineAI gained fame earlier this year when its humanoid robot became the first in the world to complete a front flip, illustrating the dynamism and creativity prevalent in Shenzhen’s tech sector.

AI Glasses Taking Center Stage

A significant milestone during the expo was the launch of the Shenzhen AI Glasses Industry Alliance. This initiative signals strong hopes within the industry that AI-powered eyewear may evolve into the next essential consumer gadget, succeeding smartphones in consumer tech hierarchy.

Google Partners with Chinese AR Visionaries

As part of this burgeoning sector, Google recently enlisted the help of XReal, a Chinese augmented-reality glasses manufacturer, for its latest initiative, Project Aura. This collaboration highlights the growing synergy between international tech giants and local innovation hubs, expanding the horizons for AR technologies in everyday applications.

RayNeo’s Upcoming AR Glasses

Among other exhibitors, RayNeo, an AR glasses manufacturer under the TCL umbrella, generated excitement with its upcoming X3 Pro AR and AI glasses slated for launch later this month. As a dominant player, RayNeo captured a staggering 50% market share in the domestic AR eyewear market during the first quarter of the year, according to data from Runto, a market intelligence firm. This dominance speaks to the rising consumer demand for augmented reality solutions.

Lightweight Innovations from Meta-Bounds

Meta-Bounds, a start-up specializing in smart glasses technology, demonstrated an impressive prototype weighing under 35 grams during the expo. Having supplied technology to major brands like Oppo, Lenovo, and SoftBank-backed ThinkAR, Meta-Bounds is further proving that lightweight tech doesn’t compromise on functionality or user experience.

Shenzhen: A Framework for Future Investments

The announcement of the 7 billion yuan investment funds marks a pivotal moment for Shenzhen. With its strategic focus on AI and robotics, the city aims to cultivate an ecosystem conducive to innovation. Encouraged investments and emerging technologies will not only enhance local start-ups but also draw global attention to Shenzhen as a technology hub ripe with potential.

A Hands-On Experience in Innovation

The Global AI Terminal Expo 2025 serves as a testament to Shenzhen’s growing stature within the AI hardware ecosystem. Attendees explored not only the latest devices but also engaged in discussions surrounding the implications of AI power in everyday life, driving home the message that innovation is not just about technology; it’s about transforming lives.

The Growing Demand for AI-Powered Hardware

The surge in interest and investment towards AI-centric hardware is a reflection of consumer trends prioritizing smarter, more efficient devices. As modern consumers become increasingly reliant on technology, companies are challenged to deliver products that meet evolving needs, emphasizing the importance of innovative R&D.

Industry Collaboration Paving the Way Forward

With collaborations between established corporations and start-ups, an exciting future lies ahead for AI and robotics in Shenzhen. The synergy generated from these partnerships promises rapid advancements, setting a higher standard for what can be achieved in the field of smart hardware.

Building Resilience in the Tech Landscape

The parallel growth of Shenzhen’s tech sector amid global pressures showcases a resilience that few other cities exhibit today. By fostering a supportive environment for AI-driven start-ups, Shenzhen is crafting a legacy that highlights collaboration, creativity, and above all, the transformative potential of technology.

Conclusion: Shenzhen Shining Bright on the Global Stage

In conclusion, Shenzhen’s proactive steps in supporting AI and robotics start-ups underscore the city’s ambitions to redefine the technological landscape. With a blend of substantial investment funds, diverse innovation showcased at significant expos, and collaborations that extend beyond borders, Shenzhen is not just a player; it is an emerging leader on the global stage of technological advancement.

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Leah Sirama
Leah Siramahttps://ainewsera.com/
Leah Sirama, a lifelong enthusiast of Artificial Intelligence, has been exploring technology and the digital world since childhood. Known for his creative thinking, he's dedicated to improving AI experiences for everyone, earning respect in the field. His passion, curiosity, and creativity continue to drive progress in AI.