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San Jose Unveils AI Center for Excellence to Boost Local Tech Economy

SAN JOSE — A new artificial intelligence endeavor officially launched Wednesday in downtown San Jose, with a new office established at a prominent tower located at the corner of First Street and Santa Clara Street. This initiative reflects a strong commitment from various stakeholders including the city of San Jose, PG&E, San Jose State University, and Plug and Play, aimed at enhancing the tech landscape of the region.

Plug and Play has opened its AI Center for Excellence office on the eighth floor of a tower at 2 West Santa Clara St., operated by Bay Area real estate firm Divco West. Mayor Matt Mahan described the opportunity to create a startup cluster in the area, noting that there are already 20 venture-backed AI startups in downtown San Jose that could benefit from this new center.

The office anticipates an official opening in May, with a 6,200 square foot lease secured by Plug and Play, according to its founder and CEO, Saeed Amidi. He expressed enthusiasm about attracting startups like Turing, Glean, and Grok to the center, indicating that San Jose is poised to become a home for hundreds of tech startups over the coming years.

The AI Center for Excellence is projected to host around 40 startups, potentially bringing hundreds of tech employees to the downtown area, according to Amidi. Mayor Mahan articulated a vision to position San Jose as the ‘AI capital,’ highlighting plans to incorporate incubators and accelerators to leverage local educational talent from San Jose State University.

Amidi emphasized that while the AI Center aims to be a platform for innovation, it will also focus on what he terms a ‘smart city’ agenda, encompassing mobility, real estate, and clean energy initiatives. San Jose State University is expected to play a significant role in supplying tech-skilled graduates and supporting the overall development of the center.

Patricia Poppe, CEO of PG&E, commented on the city’s potential, expressing pride in supporting San Jose’s growth and the importance of enhancing existing infrastructure to meet the expected demand for electricity in the tech sector. She highlighted ongoing efforts to ensure that the utility can empower the city for future developments.

In addition to the AI Center, Plug and Play is also exploring the creation of an AI incubator showroom nearby, allowing individuals to engage with different AI technologies developed by startups. Principal owners of the tower include Canada-based Westbank and San Jose-based Urban Community.

As this ambitious project unfolds, local leaders emphasize the need for collaboration among tech firms, educational institutions, and utility companies to foster an innovative environment conducive to technological advancement.