China Tech

Arm China Deepens Hong Kong Presence as City Courts Mainland Tech Firms

Arm China Deepens Hong Kong Presence as City Courts Mainland Tech Firms

A growing number of mainland Chinese technology companies are expanding their presence in Hong Kong, using the city as a base to access international markets and attract high level research talent. The trend reflects Hong Kong’s renewed push to position itself as a regional technology hub, complementing its long standing role as a global financial centre. As competition in advanced technologies such as artificial intelligence and semiconductors intensifies, both established firms and start ups are increasingly seeing strategic value in a Hong Kong footprint.

Arm China plans major research centre in the city

One of the most notable moves comes from Arm China, the mainland unit of British semiconductor company Arm Holdings. The company has announced plans to establish a chip intellectual property research and development centre in Hong Kong in 2026. According to Zou Wei, Arm China’s senior technical director, the new facility will focus on artificial intelligence and robotics, two areas seen as critical to the next phase of technological development.

The centre is expected to be located in the Hetao Shenzhen Hong Kong Science and Technology Innovation Cooperation Zone, a cross border initiative designed to deepen collaboration between the mainland and Hong Kong. Arm China aims to recruit around one hundred staff within three years, highlighting the scale of its commitment and the importance it places on the city as a research base.

Why Hong Kong is becoming more attractive

Hong Kong offers a unique combination of advantages for technology firms. Its proximity to Shenzhen places it close to one of the world’s most dynamic innovation ecosystems, while its legal framework and international connectivity make it attractive for companies looking to expand overseas. For mainland firms, establishing operations in Hong Kong can help bridge the gap between domestic development and global markets.

The city has also been investing heavily in science parks, innovation zones, and talent attraction schemes. Authorities hope these efforts will encourage more technology companies to set up research facilities and regional headquarters, helping diversify the economy beyond finance and property.

Start ups also joining the movement

Alongside major players like Arm China, artificial intelligence start ups such as RabbitPre are also expanding into Hong Kong. These younger companies are drawn by access to international investors, a diverse talent pool, and opportunities to collaborate with universities and research institutions. For start ups focused on AI, the ability to test products in a global environment while remaining close to mainland clients is a significant advantage.

This mix of large firms and early stage companies suggests the trend is not limited to one segment of the technology sector. Instead, it reflects a broader shift in how mainland Chinese tech firms view Hong Kong’s role in their growth strategies.

The role of the Hetao cooperation zone

The Hetao Shenzhen Hong Kong Science and Technology Innovation Cooperation Zone has become a focal point for cross border collaboration. Designed to integrate research resources from both sides of the boundary, the zone aims to support cutting edge fields such as chips, AI, and robotics. Arm China’s decision to base its new centre there underscores the zone’s growing importance as a platform for joint innovation.

By encouraging shared laboratories, talent exchange, and streamlined regulatory processes, the zone is intended to lower barriers that have traditionally limited deeper cooperation between Hong Kong and mainland research ecosystems.

A broader push to strengthen Hong Kong tech

The expansion of mainland firms into Hong Kong aligns with the city’s wider ambition to strengthen its technology sector. Officials have made clear that attracting Big Tech and innovative start ups is central to long term economic resilience. As global technology competition becomes more intense, Hong Kong is positioning itself as a neutral and internationally connected base that can support Chinese companies’ global ambitions.

Looking ahead

As more mainland technology firms establish research and development operations in Hong Kong, the city’s role within the regional innovation landscape is likely to evolve. Moves by companies such as Arm China and RabbitPre suggest that Hong Kong is no longer seen solely as a financial gateway, but increasingly as a place where advanced technology can be developed and scaled. If this momentum continues, Hong Kong could emerge as a key link between China’s domestic innovation engine and the wider global technology market.