Testing, experiments and trial use are permitted in Shenzhen for low-risk AI products and services that have not yet been standardized by the national or local governments, but meet international advanced product standards or specifications.
It is stated in Shenzhen’s regulation on promotion of the AI industry, China’s first special legislation on the industry that is scheduled to take effect Nov. 1, Shenzhen Special Zone Daily reported yesterday.
Shenzhen is home to over 1,300 AI-related enterprises, the second-biggest number in the country. The scale of China’s core AI industry is estimated to exceed 400 billion yuan (US$57.48 billion), the Daily said.
In light of the ethical concerns that arise with the use of AI, the regulation mandates the establishment of a specific AI governance institution, and directs the city government to set up an AI ethics committee.
The value proposition of AI products and services has been made clear. It is forbidden to endanger national security, compromise the public’s interests, and violate privacy and personal information rights in research and application operations.
It is also against the law to utilize algorithmic technology to commit frauds that violate consumer rights and interests based on their purchasing power and preferences.
In the regulation, AI is defined as the simulation, extension or expansion of human intelligence through environment perception, knowledge acquisition and deduction utilizing computers or computer-controlled equipment.
Meanwhile, AI-related core industries engaging in the R&D and production of software and hardware products, system applications and integrated services, and related industries driven by the integration and application of AI technology in people’s well-being, social governance and economic development all fall into the category of the AI industry.
An AI statistics and monitoring system should be developed to provide precise and consistent data and policy support for advancing the industry’s growth, as per the regulation.
The support of data, computing power and algorithms is essential to the AI sector’s growth. According to the legislation, the government must create a public data resource system for the AI industry, public data sharing guidelines for AI applications, and an open and industry-oriented computing power and algorithm platform.
Institutions of higher learning, scientific research organizations and enterprises are encouraged and supported to build AI computing infrastructure and share computing resources to foster a shared and collaborative open-source governance ecosystem.