Microsoft opens AI and VR incubator in China

Despite its struggles in some countries, virtual reality has steadily grown in popularity throughout China over the last few years, so Microsoft -- better known for its augmented reality headset HoloLens than its VR initiatives -- is getting in on the action. As reported by China's Xinhua news agency, the company today launched the Nanchang City AI VR Innovation Center, a cloud and mobile technology incubator geared towards startups and established manufacturing companies. Though the center's name suggests that Microsoft will focus equally on artificial intelligence and virtual reality initiatives, the incubator was apparently designed to cater to the VR industry in the Jiangxi province, which created a first-of-kind industrial base within China for VR technologies. The local government expects that Microsoft's incubator will "lure dozens of AI, VR and other tech companies" into Nanchang City's Honggutan New District, and expects it to be used to train and support local companies. Microsoft's interest in AI has been strong and clear over the past year, most recently spanning everything from AI-powered suggestions in Microsoft 365 to AI-focused ecological research grants and general availability of Azure Machine Learning.