Hong Kong firms spend above global average on AI as cyber, legal risks grow

Hong Kong companies are investing an average of $214 million in AI, about 17% above the global average, as financial institutions and multinational corporations step up spending on the technology, a DLA Piper spokesperson told Crowdfund Insider.

The average AI investment in Hong Kong stands at $214 million, compared with a global average of $183 million, reflecting the city’s concentration of large multinational organisations, financial institutions and professional services firms with significant technology budgets and increasingly complex operations.

“These organisations view AI not just as a productivity tool, but as core to long-term value creation and resilience, particularly in a highly international, services-led economy,” the DLA Piper spokesperson said.

Financial institutions are accelerating AI deployment to improve risk modelling, compliance and client experience, while technology-enabled businesses are investing to strengthen their competitiveness in regional and global markets, the spokesperson added.

The findings come as Asia emerges as an increasingly important AI investment destination.

Nearly 70% of mainland Chinese respondents believe AI investment is shifting towards Asia, reflecting what DLA Piper described as a more regionally balanced AI ecosystem supported by government policies, large data pools and strong adoption across industries.

The survey also highlighted differing approaches to AI adoption between Hong Kong and mainland China.

Hong Kong businesses are taking a more measured approach, with 80% of respondents saying the primary purpose of AI pilots is learning and validation rather than immediate deployment.

Mainland Chinese companies, meanwhile, are moving more quickly toward enterprise-wide adoption, supported by established regulation, infrastructure and a wide range of readily available AI tools.

As investment rises, companies are grappling with a growing range of legal and commercial risks.

About 77% of Hong Kong respondents reported exposure to dependency risks in the AI value chain, 10 percentage points above the global average.

Intellectual property and copyright emerged as the territory’s leading strategic concern, cited by 55% of respondents compared with 48% globally.

Cybersecurity has also become a key challenge.

The survey found that 63% of Hong Kong respondents have experienced AI-linked cyber incidents, 11 percentage points above the global average.

Carolyn Bigg, a DLA Piper partner, said at a media roundtable that cyber criminals are increasingly using AI to build malware, identify vulnerabilities and speed up attacks.

Organisations operating both Western and Chinese AI platforms also face what she described as “dual-platform exposure”, requiring them to manage separate threat environments with different vulnerabilities and defensive requirements.

Despite those risks, Hong Kong companies expressed relatively high confidence in their ability to comply with evolving AI regulations.

The survey found that 57% of respondents reported “very high” confidence in AI regulatory compliance, compared with a global average of 43%.

According to the DLA Piper spokesperson, the result reflects guidance issued by regulators including the Securities and Futures Commission and the Hong Kong Monetary Authority, as well as multinational companies’ experience complying with European and mainland Chinese AI rules.

The spokesperson said multinational businesses are increasingly adopting a “global or regional baseline plus local overlay” strategy, establishing common governance standards while tailoring compliance to local regulatory requirements.

Beyond regulation, businesses are increasingly focused on operational resilience and managing contractual risks associated with AI supply chains.

AI-related transactions across Asia-Pacific are also expected to accelerate, with licensing agreements, strategic partnerships and targeted acquisitions likely to drive activity.

“Hong Kong is already one of the most active AI dealmaking markets globally,” the DLA Piper spokesperson told Crowdfund Insider, pointing to strong activity in licensing, outsourcing and strategic partnerships as organisations invest in AI ecosystems rather than large-scale acquisitions.

Looking ahead, Edward Chatterton, a DLA Piper partner, said at a media roundtable that greater consolidation in AI infrastructure, increased adoption of autonomous systems and growing attention to data governance and sovereignty are likely to shape the market over the next five years.

Hong Kong’s ongoing consultation on text and data mining exceptions under its Copyright Ordinance could also become an important development for AI companies and investors.

For businesses making substantial investments in AI, the DLA Piper spokesperson said the priority is ensuring that technology platforms remain available and functional over the long term, with viable alternatives if vendors withdraw support.



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YTD: Jan 1, 2026 - Nov 5, 2026 vs Jan 1, 2025 - Nov 5, 2025

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Target raise $3.45B $3.59B -3.8%

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