Shanghai gives strategic priority to the AI industry. (Photo / Shanghai Economic and Information Technology Commission)

Shanghai is developing itself into China's hot-spot for artificial intelligence (AI) with six AI innovative application demonstration areas by 2020, according to the Shanghai Economic and Information Technology Commission.

Reports confirm that the city has given strategic priority to the AI industry, which is witnessing rapid development. Shanghai is becoming a leader in China's AI development.

The city has attracted a slew of AI enterprises thanks to its robust industrial foundation, sufficient talents, and government support. International tech behemoths including Microsoft and Amazon, domestic internet giants such as Baidu, Alibaba and Tencent, Shanghai-based AI enterprises including YITU, and more startups are injecting impetus into Shanghai's AI industry.

Meanwhile, Shanghai has made steady progress in building AI innovation platforms. For example, Microsoft partnered with Shanghai Xuhui District People's Government and INESA Group to establish the Microsoft-INESA AI Innovation Center, bringing world-class AI research capabilities to the city.

Reports also indicate that one-third of China's AI talents are in Shanghai, a particular advantage which should help the city achieve its goal.