On March 31, the Ministry of Digital Affairs held a press conference to announce the launch of the "100 Billion Investment Project for AI Startups." Minister Yen-Nun Huang stated that over the next 10 years, the Executive Yuan will invest 10 billion NTD from the National Development Fund in a public-private partnership to support AI and digital economy industries, aiming to help these industries become the next trillion-dollar sector and create more AI unicorns.
The investment period for this project will be seven years, with a three-year disposal period. The public-private investment ratio will generally be 1:1, with a maximum of 2:1. Jiunn-Shiow Lin, Director General of the Administration for Digital Industries, noted that AI development requires computational power, data, talent, marketing, and financial support, with funding often being the crucial "missing element" in the equation. The goal is to attract more private investment.
The Ministry of Digital Affairs has already announced the first batch of 10 companies partnering with investors, including Taiwan Web Service Corporation (TWS), ABICO Asia Capital, and SUNSINO DEVELOPMENT ASSOCIATE. Investment targets will cover a wide range of digital economy sectors such as information services, cybersecurity, e-commerce, gaming, machine learning, and consulting. The ministry plans to hold six investment proposal briefings and four matchmaking sessions to help businesses quickly connect with investors.
Paul Liu, Chairman of the National Development Council (NDC), revealed that the NDC will launch a national development plan for AI infrastructure this year, which includes three major areas requiring assistance from the Ministry of Digital Affairs: developing software brand industries to drive growth, promoting AI applications to millions of businesses, and creating an AI-powered lifestyle for all citizens, driving various AI solutions.
Paul Liu also shared that a new version of the "Industry Innovation Act" will be introduced, providing tax incentives for investment in AI-related industries to promote the development of AI innovation and entrepreneurship ecosystems. This project will also align with the "Balanced Taiwan Initiative," encouraging entrepreneurship across Taiwan and balancing the entrepreneurial ecosystem.
Regarding investment target selection, Deputy Minister Yi-Jing Lin of the Ministry of Digital Affairs emphasized that the government hopes to play the role of "Smart Money" by gaining a deeper understanding of the AI industry through the investment process. He pointed out that industries such as biotechnology and healthcare in Taiwan have significant potential for AI applications, but the creativity in the private sector is limitless, extending beyond specific fields.
On the investment management mechanism, Ting-An Wang, Executive Secretary of the National Development Fund, explained that the evaluation process will be rigorous. The Ministry of Digital Affairs will assess whether the targets align with policy directions, and the National Development Fund will have representatives attend joint evaluations with venture capitalists. After investment, the relevant industry authorities will regularly submit investment reports to the National Development Fund, and performance will be reviewed during the Fund's management meetings.
Resource: 國發基金百億資金挹注 數發部啟動10年專案催生AI獨角獸
