Brain-Computer Interface 'Surge': Musk Launches Mass Production as Chinese Firms Race to Implant Devices

At the start of 2026, American tech billionaire Elon Musk announced on social media that his brain-computer interface company, Neuralink, would commence “high-volume mass production” this year and transition to a more streamlined, fully automated surgical procedure.

Meanwhile, Chinese brain-computer interface (BCI) companies are accelerating clinical trials, presenting a landscape of multiple parallel technological approaches. A collective race to “implant brains” has entered its final sprint.

At Huashan Hospital Affiliated to Fudan University, the brain-computer interface (BCI) team led by President Mao Ying completed China’s first clinical trial of a “fully implanted brain-computer interface” over the past year. The patient, referred to as “Xiao Dong” (Dong Hui), suffered spinal cord injury and quadriplegia due to a car accident. Mao Ying told a reporter from Yicai that on the ninth day after surgery, Xiao Dong was able to slightly lift a small ball with his right hand. Subsequently, he lifted dumbbells and used his left hand to hold a cup for drinking. After six months of training, Xiao Dong regained the ability to write with a pen held in his right hand.

The implantation of the brain-computer interface (BCI) not only helped Xiao Dong achieve partial restoration of motor function but also significantly rebuilt his confidence in life. More surprisingly, doctors observed that after undergoing BCI training, Xiao Dong’s hand function began to recover spontaneously and gradually, even when he was not wearing external devices. This provides new directions for research on how BCIs can promote neural plasticity.

Similar “miracles” have also occurred in the case of Jiande. After being bedridden for eight years following a car accident, the 28-year-old Jiande was completely paralyzed from the shoulders down. Following the implantation of a brain-computer interface device, he can now play video games using only his thoughts and has defeated many other players.

In the future, beyond helping individuals with motor impairments regain mobility, “enabling the speechless to speak” and “restoring sight to the blind” are shared visions of global brain-computer interface companies, including Elon Musk’s Neuralink.

Neuralink is currently a typical representative of the invasive brain-computer interface (BCI) technology pathway worldwide. According to the company, its BCI device can directly insert electrode threads into the dura mater without incising it, thereby resulting in less trauma.

Neuralink’s brain implant devices are primarily intended for patients with neurological disorders, such as spinal cord injuries. According to information released by the company, as of September 2025, a total of 12 severely paralyzed patients worldwide had received Neuralink’s brain-computer interface implants. These recipients have been able to perform tasks such as playing video games, browsing the internet, and posting on social media by controlling a computer cursor.

Elon Musk’s vision is to realize the “Full-Brain Brain-Computer Interface Program” by 2028, which entails “fully integrating the human brain with AI to achieve connectivity at the level of consciousness.” To this end, he has also unveiled a product roadmap for the coming years, covering motor decoding (primarily targeting patients with motor impairments such as spinal cord injury and amyotrophic lateral sclerosis), visual encoding (primarily targeting patients with visual impairments), and a ultimate device called “Deep.” This device can insert electrodes into any region of the brain (with the number of electrode channels expected to reach 10,000 by 2028), access any area of the brain, treat neurological disorders such as mental illnesses and pain, and enable the integration of all humanity with AI.

In China, a series of Chinese brain-computer interface (BCI) companies aligned with Neuralink’s technological roadmap have emerged. Among them, companies such as Jieti Medical, NeuroXess, XinzhiDa, and BrainCo have entered the clinical validation phase, and the number of implanted patients is expected to increase further in 2026.

“This year (2026), we indeed have a substantial workload. ‘Beinao No. 1’ will undergo registration-based clinical trials, with plans to implant the device in dozens of patients; ‘Beinao No. 2’ will launch investigator-initiated trials (IIT),” said Luo Minmin, Director of the Beijing Institute for Brain Disorders and Brain-like Intelligence, in an interview with Yicai Global.

It is reported that the “Beijing Brain No. 1” intelligent brain-computer interface system has already been implanted in several patients with spinal cord injury, and the higher-performance “Beijing Brain No. 2” system will enter clinical validation in 2026. Equipped with high-throughput flexible microfilament electrodes, a thousand-channel high-speed neural signal acquisition device, and a generative neural decoding algorithm based on feedforward control strategies, “Beijing Brain No. 2” will primarily target patients with motor disorders.

Tao Hu, founder and chief scientist of NeuroXess, recently told Yicai Global that the company will complete the registration for formal clinical trials of its brain-computer interface (BCI) devices in 2026, accelerating the commercial launch of related BCI products. By the end of 2025, NeuroXess had completed 54 human implants of its brain-computer interfaces.

Liu Bing, an associate researcher at the Institute of Automation of the Chinese Academy of Sciences, told Yicai that, in terms of clinical research progress, the domestic companies currently in the first tier are Jieti Medical and Boreas Neurotech. However, he also noted that one should not focus solely on the speed of clinical trials, but rather pay closer attention to the technology itself and the benefits accrued by patients.

However, there is still a certain gap between China’s current brain-computer interface (BCI) technology and that of Neuralink. Neuralink’s 1,024-channel flexible electrode array, combined with its self-developed automated implantation robot, represents the global state of the art in terms of system integration, channel scale, and implantation techniques. In contrast, mainstream invasive BCI products in China generally operate at the 256-channel level, resulting in an overall gap of two to three years.

Meanwhile, non-invasive brain-computer interfaces also hold broad application prospects. On January 1 of this year, Gestalt (Chengdu) Technology Co., Ltd., jointly initiated by Peng Lei, former co-founder and CEO of BrainCo Technology, and Chen Tianqiao, founder of Shanda Group and the Tianqiao and Chrissy Chen Institute for Neuroscience, was officially announced, marking the launch of a new pathway in China’s brain-computer interface field that leverages ultrasound technology as its core technical stack.

According to reports, ultrasound can achieve precise modulation of specific brain regions via phased-array technology without the need for craniotomy. This enables non-invasive, multi-target, and flexible modulation of brain regions and circuits, facilitating innovative treatments for related neurological disorders and the exploration of novel therapeutic targets.

In the field of neurological rehabilitation, non-invasive brain-computer interfaces (BCIs) have become one of the key tools, covering multiple scenarios such as intervention for sleep disorders and the recovery of cognitive and motor functions after stroke. Market research data shows that, to date, non-invasive products account for 82% of the global BCI market share and will continue to dominate in the short term. Their advantages lie in a relatively clear regulatory approval pathway, allowing flexible deployment in hospital rehabilitation departments, community rehabilitation centers, and even home settings, thereby enabling early and frequent interventions.

In 2025, the Ministry of Industry and Information Technology and six other departments jointly issued the “Implementation Opinions on Promoting Innovative Development of the Brain-Computer Interface Industry,” which systematically outlined for the first time the development path, key tasks, and safeguard measures for the brain-computer interface industry, thereby establishing its status as a formal, recognized sector.

The aforementioned “Opinions” propose that by 2027, brain-computer interface (BCI) products will see accelerated adoption in industries such as industrial manufacturing, healthcare, and consumer goods; by 2030, the innovation capacity of the BCI industry will be significantly enhanced, establishing a safe and reliable industrial system.

In the proposals for the 15th Five-Year Plan, brain-computer interfaces are explicitly identified as a future industry for forward-looking strategic deployment.

Policy support has ignited enthusiasm in the capital market. In terms of investment and financing, data from IT Juzi shows that as of November 2025, there have been 16 investment and financing events in the brain-computer interface (BCI) field within the year, with amounts approaching RMB 1 billion, far exceeding the RMB 200 million raised throughout all of 2024. Among these, Shanghai Jieti Medical’s completion of a RMB 350 million Series B financing round set a new record for the largest single funding round in China’s implantable BCI sector in 2025.

As brain-computer interface (BCI) companies begin to enter clinical trials, their need for capital has become more urgent, sparking an imminent new round of financing competition. A founder of a BCI company currently planning a new funding round told Yicai Global, “Clinical trial costs depend on many factors, including the complexity of the surgical procedures, product costs, and the size of the sample cohort.” According to currently announced clinical research plans for BCI projects, the patient sample sizes for clinical cohort studies are in the range of dozens.

However, from the perspective of investors, the valuations of leading brain-computer interface (BCI) companies have already reached a level that is “too high to invest in.” A healthcare industry executive at a Shanghai-based state-owned investment firm told Yicai Global that valuations for top-tier BCI companies are generally too high, while the technological value of second-tier firms is insufficient to attract investors.

Among China’s leading brain-computer interface (BCI) companies, the highest-valued firm has reached a valuation of over US$1 billion, while other first-tier enterprises are generally valued at around RMB 2 billion.

Nevertheless, the valuation of domestic brain-computer interface (BCI) companies pales in comparison to that of the U.S. market. Neuralink’s current valuation has reached as high as $12 billion, whereas the average valuation of Chinese BCI companies pursuing similar technological approaches is approximately $300 million, representing a disparity of tens of times.

“The U.S. market is more inclined to pay ultra-high premiums for disruptive technologies, while the Chinese market, at the current stage, places greater emphasis on the certainty of technological implementation,” said Liu Bing.

According to the “2025 Blue Book on China’s Brain-Computer Interface Industry” released by Qianzhan Industry Research Institute, healthcare is the primary application area for brain-computer interfaces (BCIs), accounting for 56% of the downstream BCI application market size. The report projects that the global potential market size for BCIs in serious medical applications will reach up to $85 billion, while the potential market size in consumer healthcare (such as health monitoring and cognitive enhancement) will reach up to $60 billion.

Motor function reconstruction represents the most definitive and urgent clinical value of current brain-computer interface (BCI) technology, and is also the area with the closest integration of medicine and engineering. Furthermore, spinal cord injury, chronic disorders of consciousness (vegetative state), refractory epilepsy, and severe depression are also key research directions.

According to data from the Chinese Clinical Trial Registry, in 2025, a search using “brain-computer interface” as the keyword revealed that over 90% of newly registered clinical studies were interventional, aimed at treating or improving diseases; more than 60% of the clinical studies focused on motor function rehabilitation after stroke.

It is often said that founding a hard-tech startup is akin to groping in the dark. As an interdisciplinary field, brain-computer interfaces (BCIs) require deep synergy across multiple domains, including neuroscience, materials science, chip technology, artificial intelligence, and clinical medicine. The commercialization of BCIs also necessitates a prolonged period of validation.

In Liu Bing’s view, the commercialization of brain-computer interfaces (BCIs) requires overcoming three major hurdles: the “evidence hurdle,” the “trust hurdle,” and the “payment hurdle.” Due to the “high barriers” associated with the research and development of implantable BCI devices, a lengthy validation process is often required, with R&D cycles spanning 5 to 10 years and substantial capital investment. This poses a multifaceted test of technological endurance, financial strength, and the ability to integrate top-tier clinical resources.

Zhang Suyang, a managing partner at Volcanic Stone Capital, began engaging with domestic brain-computer interface (BCI) teams as early as ten years ago. Ultimately, he chose to invest in a medical company specializing in neural stimulation system technology as his entry point into the BCI sector. In his view, BCI technology has already demonstrated clear application prospects in the treatment of conditions such as Parkinson’s disease and epilepsy. “The mechanisms underlying these diseases are relatively well-defined, making them the most promising candidates for successful commercialization,” he told a reporter from Yicai Global.

Zhang Suyang believes that brain-computer interface (BCI) technology is currently concentrated on addressing clinical issues, and the broader application of BCI technology is far from reaching its true tipping point. “Even after more than a decade of development, it remains in a very early stage,” Zhang stated. “I believe this path will not be traversed quickly.”

Tom Oxley, founder of Synchron, a brain-computer interface (BCI) company and U.S. competitor of Neuralink, also stated that medical applications of BCIs are expected to require another 3 to 5 years for regulatory approval, while consumer-grade implantable devices will take at least 15 to 20 years.

Current consumer-grade brain-computer interface (BCI) products are often bulky and cumbersome to wear, making them unsuitable for prolonged daily use. Functionally, most offer non-essential features, resulting in low user stickiness and a lack of ecosystem support.

Liu Bing believes that for brain-computer interface (BCI) technology to break through in the consumer market and produce “blockbuster” products, it must surpass the “tipping point” characterized by invisibility, essential demand, and affordability, thereby achieving a leap from being merely “interesting” to truly “useful.”

Beyond technical and market challenges, the rapid advancement of brain-computer interfaces has also sparked profound ethical and social concerns: How can patient privacy and security be safeguarded? Could “thoughts” be stolen or tampered with? Will cognitive enhancement technologies exacerbate social inequality? Will the final frontier of human thought face unprecedented challenges?

In response to these issues, the industry has begun establishing comprehensive legal frameworks and industry standards to ensure that technological innovation proceeds responsibly before large-scale deployment.

In this regard, Huang Wenhong, Deputy Director of the Software Industry Research Office at the China Academy of Information and Communications Technology’s Institute for Industrial Development, recently published an article stating: “Brain-computer interfaces collect brain signals, which involve issues such as neural data privacy, informed consent, and boundaries of use. When planning projects, it is essential to simultaneously consider data compliance, ethical review, and risk contingency plans, incorporating these requirements into institutional policies and embedding them into operational processes.”

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