Hong Kong will promote the industrial use of artificial intelligence (AI) so that all its residents will ultimately adopt and be conversant with the technology, said Paul Chan, financial secretary of the Hong Kong Special Administrative Region (HKSAR) government, while delivering the 2026 to 2027 budget on Wednesday.

Chan said he will establish and chair the Committee on AI+ and Industry Development Strategy to formulate strategies and create favorable conditions for AI to empower the transformation and development of industries.

The committee will comprise experts, academics, enterprises and industry park companies, with an initial focus on life and health technologies and embodied AI, Chan said.

In respect of basic research and development (R&D), the InnoHK Research Cluster has so far funded 16 laboratories specializing in AI and robotics technologies that can be adopted by industries such as healthcare, logistics, smart manufacturing and construction, said Chan.

Chan also noted that the HK$3 billion (about $384 million) AI Subsidy Scheme launched by the HKSAR government has approved around 30 R&D applications in such fields as large language models, new materials and biomedicine to enhance local AI research standards and application.

To promote AI+ development and transformation of R&D outcomes, the Hong Kong Artificial Intelligence Research and Development Institute Company Limited will come into operation in the second half of this year, according to Chan, who added that it will also advise on matters such as the governance framework and regulatory regime for AI development.

The data facility cluster at Sandy Ridge, which can provide a gross floor area of 250,000 square meters, will boost Hong Kong's overall computing power. The tender result of the site will be announced shortly, said Chan.

Hong Kong will also promote AI training for all and improve public services with AI, he said.