While the rapid rise in corporate artificial intelligence (AI) investment is widely viewed as a strategic necessity, its impact on stock price crash risk remains contested. This pre-registered report argues two opposing predictions. On one hand, AI investment may mitigate the stock price crash risk via improving information transparency and external monitoring for firms. On the other hand, the centralized capital investment in AI and the uncertainty involved may increase the stock price crash risk. To identify these two possible predictions, we exploit the “New-generation Artificial Intelligence Polit Zone Policy” in China as an exogenous shock and examine the impact of AI investment on firms' stock price crash risk, along with the underlying mechanisms. Furthermore, we investigate whether AI investment affects firm value. This study contributes to the literature on the economic consequences of AI investment and provides new insights into stock price crash risk and corporate risk governance.