A U.S. Commerce Department move to blacklist four of China’s leading artificial intelligence start-ups has thrown billions of dollars of foreign investment into doubt
A U.S. move to blacklist four of China’s leading artificial intelligence start-ups has thrown a blockbuster Hong Kong listing into doubt and left billions of dollars of foreign investment caught in the cross fire.
The move shocked Megvii, which has already filed its IPO prospectus, and SenseTime, which is considering a public listing. “We are all taken aback,” said one of Megvii’s bankers. “No change to plans now but we will have to see what happens over coming days.
Both companies have foreign investors, with Macquarie and the Abu Dhabi Investment Authority taking part in Megvii’s last fund-raise and SoftBank, Fidelity, Qualcommm, Silver Lake and Temasek all backing SenseTime. Macquarie, Abu Dhabi Investment Authority, Softbank, Silver Lake and Fidelity all declined to comment.IFlytek, the voice AI company, said the decision would have little impact on its business. “We have planned for this situation,” said a spokesperson.
Security camera companies Hikvision and Dahua were also put on the list, and Dahua said it expressed its “strong protest to such a decision, which lacks factual basis.” The impact to Hikvision would probably be “modest” said Ruiyi Xu, a research associate for Bernstein, adding that Hikvision was among the best prepared of the eight companies to be added to the entity list.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Goldman evaluating role in Megvii IPO after AI firm put on U.S. blacklistGoldman Sachs said it was reviewing its involvement in Megvii Technology’s planned IPO after the U.S. government placed the Chinese artificial intelligence firm on a human rights blacklist
Read more »
The United States strikes a blow to China's AI ambitionsThe United States has banned Chinese facial recognition startups from buying US products or importing American technology.
Read more »
Road-Warrior Renaissance: How AI Is Rebooting Business TravelDealing with expensing still might not be fun, exactly. But the experience will at the very least be elegantly simple paid SAPConcur
Read more »
Expanded U.S. Trade Blacklist Hits Beijing’s Artificial-Intelligence AmbitionsThe U.S. decision to add eight Chinese companies to its trade blacklist strikes directly at China’s ambitions in artificial intelligence, threatening its companies’ access to crucial components and relationships with U.S. firms.
Read more »
China pushes back against U.S. blacklisting of tech companies, raising tensions before trade talks'We urge the United States to immediately correct its wrong practices, withdraw the relevant decisions and stop interfering in China's internal affairs,' foreign ministry spokesperson Geng Shuang.
Read more »
China, asked about U.S. blacklisting of Chinese firms, says will protect its sovereign securityChina's foreign ministry said on Tuesday that China will continue to take f...
Read more »