Chinese AI Startups See Funding Slump Despite ChatGPT Hype
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Despite hype around AI like ChatGPT in China, VC investment in Chinese AI startups fell 38% in 2023 to $2B.
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Funding events for Chinese AI firms dropped 26% in Jan-Nov 2023 to 63B yuan ($8.77B), down from 2021's peak.
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Slowing mirrors global VC trends, but Chinese AI startups also face unique roadblocks like less access to US capital.
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Capital-intensive nature of AI startups with unproven models deters local investors; tech giants taking lead.
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Tougher regulations and export bans on key hardware like AI chips disadvantages smaller Chinese startups.