Chinese artificial intelligence and robotics firm UBTech Robotics has just signed a $362.4 million deal in the United Arab Emirates to expand its AI teaching labs for students in the country. The deal marks another big step for the Chinese AI tech unicorn as part of its global expansion strategy.
The deal signed by the Chinese tech firm, which is backed by internet tech giant Tencent Holdings, is considered to be the largest signed deal in the AI education sector. UBTech Robotics signed the deal with Royal Strategic Partners, a unit of Abu Dhabi Capital Group (ADCG). The Middle Eastern investment firm is one of the largest of its kind in the region, managing assets of more than $20 billion.
As part of the deal, UBTech revealed that it will be establishing additional AI teaching labs across the country for more than 1,300 primary and secondary schools over the next four years. The UAE's goal for the additional labs will be to expand AI-related courses in its primary and secondary schools and universities to produce a stream of new experts in the rapidly growing industry.
The UAE considers artificial intelligence, robotics, and other advanced technologies as a vital component in its drive to diversify its economy. The country had previously partnered with other Chinese firms for its technological development. This included a recent deal struck between ADCG and Chinese ride-hailing platform Didi Chuxing.
UBTech stated that it hopes to ink additional deals in the coming years to further expand the UAE's development of AI education solutions across the region. Even before the deal was inked, UBTech had already established a comprehensive AI curriculum system in the UAE, targeting primary, junior, and high schools along with large universities.
Apart from the UAE, UBTech is also starting to offer its comprehensive AI curriculum to other counties with the support of the UNESCO Higher Education Innovation Center. UBTech stated that it will be accelerating its efforts to tap into other overseas markets, building localized education solutions for each market.
To fund its global expansion, UBTech has been trying to raise capital through various funding rounds. Its latest Series C funding managed to raise a staggering $820 million, sending its market valuation to more than $5 billion. As of today, UBTech is considered to be the world's most valuable AI startup.
UBTech's latest funding round was led by its biggest backer Tencent Holdings, which made a $120 million investment in the company. The investment was made on top of the $40 million Tencent had already injected into the company last year. Other top investors in the robot design and manufacturing firm include the Industrial and Commercial Bank of China, Telstra, CDH Fund, Haier, and Minshen Securities.
