China Approves World's First Commercial Brain-Computer Chip, Beating Neuralink to Market

After giving competition to Tesla with its EVs, China is now all set to compete with another segment with Elon Musk. China has reportedly approved the world’s first brain-computer chip for commercial use, beating Tesla CEO Elon Musk’s Neuralink to market. According to a report by New York Post, the coin-sized device, called NEO, has cleared the clinical trials and is all set to enter mass production for the state-run health system. Version one the chip is optimised to improve the nervous system of patients suffering from spinal cord injuries and paralysis.

Elon Musk’s ‘Jesus-level technologies’

For a long time, Elon Musk has touted the potential of brain implants, calling them “Jesus-level technologies”, simply for their ability to restore sight and also reverse paralysis. Elon Musk’s Neuralink promises users the ability to perform routine tasks using thought control, such as typing or moving a mouse. But with China’s approval of NEO, Beijing has taken the lead in commercialising brain-computer interfaces.

Key differences between China’s NEO and Elon Musk’s Neuralink

China’s brain computer chip NEO differentiates from Elon Musk’s Neuralink in the aspects of design and regulatory progress. Neo uses a lesser invasive approach as its sensors are placed on the brain’s protective membrane. The chip has already received commercial approval in China. On the other hand, the implants of Neuralink penetrates the brain tissue with electrodes and it is still under US regulatory review.

Aspect

NEO (China)

Neuralink (USA)

Design

Coin-sized implant sits between skull and brain; eight sensors pressed against the dura mater (outer protective membrane). Less invasive.

N1 implant places tiny electrodes directly into the brain’s cortex, penetrating tissue to detect electrical signals. More invasive.

Purpose (Initial Use)

Focused on patients with spinal cord injuries and paralysis, helping restore movement via robotic gloves and assistive devices.

Aims to enable thought-controlled typing, cursor movement, and eventually restore sight and motor functions.

Clinical Trials

Tested on 36 patients with promising results; no major safety issues reported.

Human trials began in 2024; currently tested on a smaller group (~20 patients). Still under evaluation.

Regulatory Status

Commercial approval granted by China’s National Medical Products Administration; entering mass production for state-run health system.

No commercial approval yet; still undergoing U.S. FDA regulatory review.

Approach to Invasiveness

Minimally invasive, reducing surgical risks while still capturing brain signals.

Highly invasive, requiring direct cortical penetration for higher-resolution data.

Market Position

First brain-computer interface cleared for commercial sale worldwide.

Still in experimental stage; positioned as a future “Jesus-level technology” by Musk.

Promise and peril

As per the New York Post report, advocates see brain chips as the enabler of digital telepathy and telekinesis, while also treating various mental conditions like depression, epilepsy, stroke, and Parkinson’s disease. However, experts are of the opinion that the technology could expose sensitive neural data to hackers. “Brain implants may sound dystopian, but they are a promising part of neuroscience research,” said Griffith University’s Dr. David Tuffley, adding that they could theoretically allow access to patients’ thoughts and memories. Venture capitalist Scott Phoenix told a TED talk in April: “We’re on the cusp of the next major transition, the merger of humans and AI. Someone you work with will get it first… eventually, you won’t be able to hold out.” The vision is shared by OpenAI CEO Sam Altman and investor Peter Thiel, who see brain-computer interfaces as the next frontier of human-machine integration.