Kaifu Lee’s Sinovation Ventures has announced the launch of its new AI company named Chuangxin Qizhi (创新奇智), which has completed its angel financing round and raised over RMB 100 million, according to local media reports (in Chinese). The investment was led by Chengwei Ventures with the participation of Sinovation Ventures and other investors.

Chuangxin Qizhi, established in March, offers AI products and commercial solutions to companies and focuses on primarily three areas: retail, manufacturing, and insurance. CEO Hocking Xu said that in a short amount of time, the company has already established partnerships with many industry leaders including Hon Hai Precision Industry Co (aka Foxconn, China Merchants Group, and Yonghui Superstores.

Currently, the company is made up of over a hundred AI technology experts and is getting support from Sinovation’s AI Institute. The Institute, headed by Kaifu Lee, was established in September 2016 dedicated to AI scientific research and technology application, as well as a base for AI talent development.

Read more: Kai-Fu Lee leads Beijing’s new AI research center

As a major investor of Chuangxin Qizhi, Lee said: in comparison to the disruption brought by the Internet, the disruption of AI in traditional enterprises will be more extensive and powerful. The existing culture and operating model will become tremendous burdens for traditional enterprises to transform into AI-powered companies. Lee explained that traditional enterprises need to embrace the AI era and the quickest way is to find solutions and trusted partners—and Chuangxin Qizhi aims to serve those companies needs.