The Philippines is expecting an investment of around $10 billion for a U.S.-supported plan to build an artificial intelligence hub, Bloomberg reported citing Bases Conversion and Development Authority Head Joshua Bingcang.
The two countries are set to enter into a contract for the project this year, with the Philippines potentially offering a 99-year lease of a 4,000-acre site to the U.S, the newswire said.
The site, formerly a US air base in North Manila, is reportedly anticipated to host data centers, as well as green energy, semiconductor, and logistics projects.
The agreement comes as the Philippines became a part of Pax Silica, an initiative by the U.S., in alliance with the Philippines, Australia, Israel, Japan, the U.K., and India among others, to build technology and semiconductor supply chains in a bid to reduce dependence on China.
For the Philippines, Pax Silica is "a way to catch up in terms of industrial activity," the report said citing Bingcang as he spoke at an interview Thursday.
State-owned Bases Conversion and Development Authority is working with the U.S. on the AI hub.
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