The City of Shanghai Rolls Out Regulation to Promote AI Industry Development1


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The City of Shanghai Rolls Out Regulation to Promote AI Industry Development

In a bid to stimulate the AI industry, the city of Shanghai has rolled out a regulation focused on standardization. This regulation includes requirements on algorithm performance, data security and privacy protection, and product compatibility. It aims to support a collaborative industrial chain and healthy AI industry development. AI is one of three leading industries in Shanghai, and the city has put considerable effort into its promotion and development.

China’s innovation-driven development

Innovation-driven development is a central part of the Chinese development strategy. President Xi Jinping has made innovation a priority for China’s national development. Innovation can take many forms, from scientific innovation to institutional innovation. It should become a norm in state and party work and in society as a whole.

UK’s digital transformation

In Shanghai, a new regulation has been implemented to promote AI industry development. The regulation aims to give full play to AI industry development by providing a sound framework and effective governance. In addition, minor infractions will not be punished administratively, thereby fostering the development of AI technology and innovation.

The regulation stresses the importance of establishing a standard for AI that ranges from algorithm performance and data security, to privacy protection, product compatibility and more. This will greatly promote the formation of a collaborative industrial chain, and to ensure the healthy and orderly development of the AI industry,” said Shi Zhiru, vice-president of Dgene Inc.

UK’s SAPIENT system

Shanghai has recently rolled out new regulation aimed at promoting AI industry development. The regulation includes financial support for startups, fostering entrepreneurs, focusing on certain market segments and developing the supply chain. The move reflects the Chinese government’s desire to develop a global city cluster.

A certain degree of tolerance for such infractions is aimed at encouraging exploration of scientific frontiers and inspiring innovation, said Weng Guanxing, a lawyer at Shanghai-based law firm Wintell & Co.

“The essence of scientific research is that it is a process of constantly making mistakes and distinguishing right from wrong. So is AI. Therefore, it is also an international convention to allow for minor errors during the research and development process,” Weng said.


The Shanghai government has introduced a regulation aimed at encouraging AI industry development and overall innovation. It includes standards on algorithm performance, data security, privacy protection, and product compatibility. The city also aims to foster a collaborative industrial chain. These initiatives will promote AI industry development and ensure the development of a healthy industry.

UK-China cooperation

The UK has a reputation for fostering innovative technology, with a strong reputation as a centre for AI incubation. However, it is seen as a small market, and attracting large-scale investment is challenging. As a result, many young AI companies choose to move to the USA, where the market is much larger and investors are more willing to take a risk. In this way, the UK risks losing out on the opportunity to build large AI companies.

UK-Turkey collaboration

A recent UK-Turkey collaboration has brought together a number of AI industry players to develop AI applications for a variety of industries. This includes the healthcare industry, where AI applications could dramatically improve the diagnosis and treatment of diseases. The two nations will also partner on projects to encourage investment in research and development and create jobs.

“This legislation, with the aim to promote (the AI industry), places emphasis on industry innovation and guidance for future development,” said Yan Rui, director of legal affairs in the Standing Committee of the Shanghai Municipal People’s Congress, at a media briefing on Thursday.

By giving full play to effective market and top-notch governance, the regulation intends to facilitate various incentives for the high-quality development of the AI industry, Yan said.

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