AI hardware start-ups get fresh boost in Shenzhen with launch of US$1 billion funds

The Shenzhen government has launched funds of 5 billion yuan and 2 billion yuan dedicated to AI and robotics start-ups at the city’s AI expo

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EngineAI showcased its first robotic dog at the Global AI Device Expo 2025 in Shenzhen. on May 22. Photo: Coco Feng

Coco Fengin in Shenzhen

Published: 7:00am, 23 May 2025

China’s southern technology hub of Shenzhen is ramping up support for hardware powered by artificial intelligence (AI), unveiling two new investment funds totalling 7 billion yuan (US$1 billion) to back start-ups in robotics and other smart devices.

The funds – a 5 billion yuan vehicle and a separate 2 billion yuan pool – were announced on Thursday at the opening of the Global AI Terminal Expo 2025, a three-day event drawing more than 300 smart hardware exhibitors, according to the organisers. The expo is hosted by the Shenzhen Artificial Intelligence Association and the city’s Convention and Exhibition Centre Management, with support from the municipal Industry and Information Technology Bureau and the Shenzhen Artificial Intelligence Industry Office.

The event showcased the latest in Chinese AI and robotics innovation. Huawei Technologies exhibited its first foldable tablet running HarmonyOS, the company’s in-house operating system developed after losing access to Google services on mobile and, later, Microsoft Windows. Huawei began presales of the device on Monday, with shipments set to start on June 6.

Attendees at the Global AI Device Expo in Shenzhen try Huawei’s new foldable tablet. Photo: Coco Feng

UBTech Robotics, a Hong Kong-listed humanoid robot maker, introduced Meng UU – a palm-sized doll with embedded AI that enables it to interact with users. EngineAI, a Shenzhen-based robotics developer whose humanoid robot became the world’s first to complete a front flip in February, unveiled its inaugural quadruped robot, expanding beyond its previous focus on bipedal machines.

The event also marked the launch of the Shenzhen AI Glasses Industry Alliance, reflecting growing industry hopes that AI-powered eyewear could become the next must-have consumer device after smartphones. As part of its new Project Aura, Google recently tapped Chinese augmented-reality (AR) glasses maker XReal as a partner.

Among other highlights, TCL-owned AR glasses maker RayNeo exhibited its upcoming X3 Pro AR and AI glasses, set to launch later this month. RayNeo is China’s largest AR eyewear brand, capturing 50 per cent of the domestic market in the first quarter, according to market intelligence firm Runto.

Meta-Bounds – a Chinese smart glasses start-up that has supplied its tech to Oppo, Lenovo and SoftBank-backed ThinkAR – also demonstrated a prototype weighing less than 35 grams.

A special section at the expo spotlighted Huaqiangbei, Shenzhen’s famed electronics district. Virtual-reality headset maker Authentic Horizon displayed its 1,999 yuan Vision SE, with a design and interface reminiscent of the Apple Vision Pro, though it relies on controllers instead of hand gestures. The company has shipped more than 1,000 units overseas, according to a representative at the event.