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Beijing enlists private sector in arms race

China’s military is increasingly enlisting smaller private sector start-ups in the race to create the next generation of high-tech weaponry.

Once the preserve of a few secretive Chinese state-owned conglomerates, the lucrative realm of defence procurement is gradually being opened up to nimbler, cheaper and more innovative private sector start-ups.

While the process of including the private sector in military procurement on a large scale started in 2013, it is only recently that the People’s Liberation Army has sourced sensitive next-generation technology such as drones and artificial intelligence from start-ups.

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