Chinese state-backed private equity firm CSC Group has inked a multimillion deal with British startup incubator Founders Factory. The collaboration will see both firms hiring 60 people and investing in five early-stage AI startups. It also plans to launch two new companies every year. CSC Capital is the third largest private equity fund in China. 

Like Us on Facebook

Artificial Intelligence is one of the hottest technology segments right now. The technology is being used for diverse purposes.

Dania Zhou, senior managing director of CSC Group, said that the deal is aimed at fusing UK technology with the Chinese market. Zhou said that the UK has 'innovative artificial intelligence technology' while China possesses business model innovation and a massive market.

Similarly, Founders Factory co-founder and executive chairman Brent Hoberman said that the deal would help the incubator in increasing its reach to one of the most attractive markets globally. He also added that in the coming future, AI would impact various sectors ranging from health to commerce.

Chinese firms have been bullish on the AI sector. Earlier this year, Beijing Kunlun Technology Co. announced its acquisition of a 20 percent stake in Woobo Inc. for $800,000. Woobo Inc. is a US-based Artificial Intelligence company. Another Chinese investment group Cocoon Networks also set up a $606 million fund earlier this year. The fund is aimed at early stage biotech, fashion technology, and fintech startups. According to the Heritage Foundation and AEI, Chinese firms invested $110 billion in foreign companies last year. 

TagsCSC Group, Artificial Intelligence, Founders Factory