AI, chip firms among bidders for flagship Northern Metropolis tech hub at border

Firms that specialize in cutting-edge fields like chips, artificial intelligence, and quantum technology have shown interest in bidding for Hong Kong's flagship tech hub situated at the border with mainland China, according to the South China Morning Post. The government received "an enthusiastic response" to the tender for four land parcels, with a higher-than-anticipated six bids submitted.

The sites are intended for laboratories and accommodations for highly skilled professionals, with a combined gross floor area surpassing 76,000 square meters. The government company, The Loop Hong Kong Park Company, is contemplating expediting the tender results announcement to accelerate hardware developments, increase visitorship, and enhance the park's popularity.

Three of the bidders possess expertise in advanced technologies, including chips, AI, and quantum technology. The other two bidders are conglomerates with AI, data, and medical research departments or subsidiaries. Although the government had stated that the tender results would be announced by the end of the year, an insider suggested that the timeline might be pushed up to November at the earliest.

HSITP is part of the Northern Metropolis mega development, which is designed to diversify Hong Kong's economy and is seen as a key highlight in the city's first five-year plan.

Successful bidders will be responsible for the design, construction, financing, and management of the designated sites, along with the accommodation facilities. They must deposit a HK$100 million (US$12.8 million) bank-backed, on-demand "construction bond" as financial security upon signing the agreement. The construction must be completed within 30 months of signing the sublease, with a final target of April 1, 2030.

A second tender exercise for the hub, which involves three sites for laboratories and one for talent accommodation, is expected to conclude by October 20.