Chinese cities offer subsidies and cheap computing to lure AI film studios

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Local governments across China are competing to attract AI filmmakers with subsidised rent, living allowances and cheap computing power, Reuters reported on Friday.

Zhu Zhili set up an AI film studio in Shenzhen two years ago. He told the agency that officials from big cities and small towns now call him every day, asking him to move his technology or his company to them.

He also runs the AI-generated content department at China Wit Media, a Shenzhen production company.

The incentives follow the playbook China used to build its electric vehicle, solar and robotics industries.

In May, Shanghai started giving computing capacity and hosting AI models to micro-drama producers. Beijing has set up a 260 million yuan ($39 million) fund for film and video technology.

Beijing’s Huairou district, a centre of the Chinese film industry, also hands out vouchers that cut computing bills for AI short dramas. Shenzhen, for...

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