China to Invest 2 Trillion Yuan in AI Infrastructure Over Five Years

iconKuCoinFlash
Share
AI summary iconSummary
China to invest 2 trillion yuan in AI infrastructure over five years. The plan, led by the National Development and Reform Commission, includes a nationwide AI data center and computing power network. At least 80% of AI chips must come from domestic providers such as Huawei. The project will utilize long-term bonds, state funds, and private capital. It aligns with the "Six Networks Construction" strategy and aims for full data center connectivity by 2028. AI + crypto news continues to highlight major infrastructure developments. Inflation data remains a key factor in global investment trends.

Odaily Planet Daily reports, citing Bloomberg and sources familiar with the matter, that China is planning to invest approximately RMB 2 trillion (about $295 billion) over the next five years to build a nationwide artificial intelligence data center and unified computing power network, aiming to boost domestic AI industry development and enhance self-reliant computing capabilities.

Reports indicate that the National Development and Reform Commission and other relevant departments are developing a strategic blueprint to build an interconnected national computing power hub system, with state-owned enterprises such as China Mobile and China Telecom responsible for operating major data centers. The plan requires that at least 80% of key technologies, including AI chips, be sourced from domestic suppliers, such as solutions from Huawei, to reduce dependence on U.S. companies like NVIDIA and AMD.

This initiative is regarded as one of China’s most aggressive efforts to date in building AI infrastructure and a key component of the “Six Networks” strategy introduced this year. According to informed sources, funding for the project will primarily come from ultra-long-term special government bonds and national strategic industry investment funds, supplemented by bank loans and private capital.

The report states that China aims to achieve interconnectivity of distributed data center resources nationwide by 2028, promoting large-scale AI applications in fields such as healthcare, transportation, and urban governance. If grid upgrades and communication infrastructure development are incorporated into the overall planning, the total related investment could exceed RMB 5 trillion. (Bloomberg)

Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.