Goldman Sachs is utilizing Chinese funds from a partnership fund, China Investment Corporation, to invest in US companies operating in the fields of artificial intelligence (AI) and computing.
Goldman Sachs Quietly Channels Chinese Funds into US AI and Computing Ventures and Collaborated with China Investment Corporation
According to the published article of Daily Mail, Goldman Sachs has been quietly using funds from a $2.5 billion ‘partnership fund’ to invest in various US companies specializing in artificial intelligence (AI) and computing, as reported by the Financial Times. This initiative involves collaborating with the China Investment Corporation to leverage capital from a private equity reserve.
Since its inception in 2017, the China-US Industrial Cooperation Partnership Fund has facilitated deals with American companies focusing on cloud computing, drug testing, global supply chains, and retail technology. Notably, these investments, including the China Investment Corporation, continues despite the growing tensions between the US and China concerning technology, security, and geopolitical matters.
A spokesperson from Goldman Sachs clarified that the private equity partnership adheres to all relevant laws and regulations. The partnership has notably also invested not just in China Investment Corporation, but also in the Boyd Corporation, a Californian manufacturer involved in AI and drone technology, as well as cloud computing consultancy firm Cprime and drug-testing company Parexel.
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Goldman Sachs Balances Business and Regulations and Partnership with China Investment Corporation
As indicated in the article of Crypto Rank, in response to recent developments, Goldman Sachs has emphasized that the co-operation fund, with the cooperation and partnership with the China Investment Corporation, operates under the purview of US management and adheres meticulously to all established laws and regulations.
The overarching goal remains steadfast: to invest in both US and global companies, enabling them to navigate and thrive within the dynamic landscape of the Chinese market. This demonstrates the intricate balance between global business endeavors and regulatory compliance.