|
Getting your Trinity Audio player ready...
|
The Hong Kong Productivity Council (HKPC) has unveiled the key findings of its “Hong Kong AI Industry Development Study,” emphasising the current state of Hong Kong’s artificial intelligence (AI) industry, both domestically and internationally.
The study, conducted in collaboration with the Hong Kong Institute of Economics and Business Strategy (HIEBS) and HKU Business School at The University of Hong Kong, presents a comprehensive overview of the challenges, opportunities, and needs faced by the AI sector.
In alignment with the 2023 Policy Address, the HKSAR Government has identified “AI and data science” as a focal point for new industrialisation development. With funding from the Legislative Council received a few years ago, Hong Kong now hosts 14 cross-industry AI research laboratories and three universities ranked among the world’s top 30 for AI-related subjects and research.
The government plans to establish a “Digital Policy Office” and construct a high-performance computing (HPC) data centre, applying AI technology to public services.
To position Hong Kong as an international hub for AI and data industry development, the HKPC has proposed nine major recommendations based on the study’s findings. The study involved 216 AI-related enterprises, revealing that 49% faced challenges in recruiting technical talent.
Among the interviewed enterprises, 25% were large companies, while 75% were small and medium enterprises (SMEs). Over half of the companies expressed intentions to expand into both international and local markets.
Financially, 51% of large companies claimed profitability, with 31% of all enterprises reporting profitability. Funding sources varied, with 43% of companies receiving funding from the HKSAR Government and 19% from venture capital/angel investors. The cumulative investment amounts were diverse, with 49% investing less than HK$1 million and 4% investing over HK$100 million.
In terms of industry development, 48% of companies focused solely on AI for one industry, with 29% targeting telecommunications and information technology services, and 24% focusing on medical/clinical and health equipment. The main sources of income were 63% from Hong Kong, 19% from the Mainland, and 15% from overseas.
The study identified significant challenges within the industry, including insufficient HPC processing power and data, and difficulties in recruiting technical talent. Regarding processing power, 44% of enterprises faced difficulties, and 71% addressed shortfalls through cloud computing services, with 31% choosing HPC data centres in the Mainland. Additionally, 44% of companies encountered challenges in collecting data, and 49% faced recruitment difficulties, attributing it to Hong Kong’s high operating costs and a perceived lack of relevant technical talent.
The study also examined global AI industry developments, highlighting the Chinese Government’s active promotion of AI in the Mainland and the establishment of notable HPC capabilities in cities like Shenzhen and Shanghai. Internationally, countries like Singapore, New York, and Switzerland have implemented AI-focused strategies and policies, emphasising talent development and application in sectors such as finance, healthcare, and logistics.
In terms of AI application in Hong Kong, 41% of enterprises are currently using or planning to use AI. The study collected additional data from 267 companies across various industries, revealing that 32% of companies are already applying AI in areas like marketing, operations, and internal management. The average cumulative investment in AI reached HK$830,000.
The Chief Digital Officer of HKPC stressed the positive impact of AI applications, with 49% of companies perceiving the effects as aligned with their expectations. However, challenges were acknowledged, prompting the study to provide practical recommendations to further promote AI applications across industries.
The Associate Director of HIEBS highlighted the potential growth AI could bring to the economy. The study proposed nine recommendations to advance Hong Kong’s status as an “International AI and Data Industry Development Hub,” focusing on infrastructure improvement, accelerated industrialisation, and the fostering of an AI talent pool.
Over the years, HKPC has contributed significantly to AI research and development, establishing the Hong Kong Industrial Artificial Intelligence and Robotics Centre (FLAIR) at the Hong Kong Science & Technology Parks Corporation. HKPC’s commitment to promoting AI industry development and supporting Hong Kong’s rise as an international innovation and technology centre was stressed.
