Honor plans $10 billion AI investment over five years

Chinese smartphone manufacturer Honor has announced a $10 billion investment over the next five years to develop artificial intelligence capabilities across its product range, as stated by CEO James Li at the Mobile World Congress in Barcelona. This initiative, known as the Alpha plan, aims to transition Honor from a smartphone-focused company to a broader AI device ecosystem, which includes PCs, tablets, and wearables. The company is also deepening its partnership with Google and plans to incorporate advanced AI agents into its devices, enhancing user experiences with features such as intelligent phone capabilities and AGI (Artificial General Intelligence). Despite recent market challenges, including dropping smartphone rankings in China, Honor is striving to expand its global market share by innovating with new technologies like AI-enhanced imaging and user interfaces. The investment is seen as part of a larger wave of AI development in China, driven by competitive pressures and government support for technology advancements. Honor's efforts reflect a significant shift in strategy to compete with established players like Apple and Samsung in the higher-end market segment.