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Shanghai urges firms to pursue physical AI, world models

Shanghai’s Municipal Commission of Economy and Informatization issued an action plan to advance AI-enabled industrial services for 2027-2028, encouraging companies to make forward-looking bets on physical AI. The plan calls for breakthroughs in world-model construction, multimodal physical perception, virtual-real interaction and autonomous decision-making, and supports firms in developing industrial agent technologies including task planning, tool use, long-term memory, interoperability and swarm coordination.

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AI take

Shanghai's plan signals that local industrial policy is now pushing AI beyond software into embodied systems and world models, a shift with real weight for robotics, manufacturing and industrial-software vendors that would supply perception, simulation and agent layers. The emphasis on interoperability and swarm coordination suggests the city is betting on multi-machine deployments rather than single-task automation. Whether this plan translates into funded pilots or remains a directional document is the open question worth watching.

Generated by AI for reference only.

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