Orange County’s ambition to become a global AI hub

Over the past six years, Orange County in California has been making strides to position itself as a global hub for artificial intelligence (AI). This ambitious vision was sparked during a discussion at the Irvine Spectrum Center involving Stuart McClure, a notable entrepreneur and co-founder of Cylance, and two local business leaders. McClure’s suggestion to turn Orange County into a centre for AI innovation quickly gained traction, especially with the involvement of Doug Wilson, one of the attendees and co-founder of the CEO Leadership Alliance of Orange County (CLAOC). Wilson’s alliance of civic-minded CEOs is now at the forefront of initiatives designed to cultivate an AI-proficient workforce and attract technological development.

Irvine, known for its technological ecosystem featuring the University of California, Irvine (UC Irvine), and numerous start-ups, stands to benefit significantly from this focus on AI. As articulated by McClure, AI represents a transformative aspect of how people will work, interact, and entertain themselves in the future. He is currently serving as CEO of three AI start-ups, following the successful sale of Cylance to Blackberry for $1.4 billion.

The strategic push towards AI has been accompanied by a notable influx of investments in the region. Between 2008 and 2011, investments in AI totaled approximately $23 million. This figure dramatically increased to nearly $3 billion from 2020 to 2023, as highlighted in the “2024 State of AI in OC” report, a collaborative effort by the CLAOC and McKinsey & Company released in May. This report underscores that various sectors, from cybersecurity and healthcare to gaming and aerospace, are witnessing the benefits of AI application across Orange County.

Irvine is home to several key players in AI application, amongst them Helio Genomics, Medtronic, and Syntiant. These companies are at the forefront of innovations ranging from early cancer detection technologies and improved healthcare tech through machine learning to AI processors integrated into everyday items. The report also indicates that since 2020, Irvine has been the base for three out of five Orange County firms receiving substantial new AI investments, specifically Helio Genomics, Syntiant, and Alteryx.

The human capital driving this AI initiative is crucial. Doug Holte, a former president at the Irvine Company, participated in McClure’s influential lunch and supports strategies that invest in property and housing to foster a conducive economic environment. The CEO Leadership Alliance has prioritised developing the local workforce by forming partnerships with educational institutions and industry stakeholders. Among these initiatives is the AI Talent Lab, which collaborates with companies such as Nvidia, Trace3, Run:ai and Chapman University to provide AI-centric education and work opportunities for students. Notably, Nvidia’s donation of a supercomputer cluster to Chapman University in 2022 is part of efforts to prepare students from underserved communities for careers in AI.

Over 100 students have completed courses in AI skills through the CLAOC in recent years, says Kristina Horn, manager of the organisation’s Artificial Intelligence Initiative. The initiative has set five-year targets to deliver industry-aligned technology credentials to 4,000 students, with a focus on securing employment for at least half of the participants.

Overall, Orange County’s journey towards becoming an AI nucleus reflects a strategic combination of investment, education, and collaboration, aiming not only to harness current talent but also to attract future opportunities in the growing field of artificial intelligence.

Source: Noah Wire Services