The ancestors of the present-day Shi were the crewmen of a Chinese submarine, the Shi-Huang-Ti, that was beached in San Francisco shortly after the Great War. Despite the extreme levels of radiation persisting in the burning ruins of the city, they managed to establish a foothold in the city (in the former Chinatown, no less). Gradually, the submarine was stripped of its subsystems, as they found a new purpose serving the Shi, as the group of survivors came to call themselves. Eventually, they created a newly built Steel Palace, from metal salvaged from the submarine.
By 2242, the Shi became a major research and development house, one that stayed out of wasteland politics. Their remote location, as well as the presence of various gangs and cultists in the San Francisco area helped them maintain their isolation and independence.
Thanks to their isolation and shunning of outsiders, the Shi have managed to retain a certain amount of their ancestors customs, such as clothing, language and demeanor. The Shi are a feudal society, with a strict hierarchical organization. The leader is nominally the Shi Emperor. However, due to the fact that it is a computer, the actual leader is his head adviser, Ken Lee. Under his command stands the Shi guard, a highly effective fighting force whose sole purpose is protecting the Shi and San Francisco, and the research and development branches of the organization. The Shi also has a network of spies that operate within the city to oversee everything that happens within the city. Those that do not enjoy an official position remain outside the power structure and are expected to provide for the community; in return they enjoy the protection of the Shi guard as well as other benefits coming from being a tight knit community.
The Shi are one of the most advanced factions in the wastes, surpassing even the Brotherhood of Steel. They have considerable industrial capability, being able to manufacture high tech weapons, both to equip their military force, and for trade. Perhaps their most awe-inspiring feat is the ability to restore pre-War T-51 power armor to working condition and offer them for sale through affiliated merchants.
The Shi are also very active researchers. They are nearing a breakthrough in the rediscovery of nuclear power and are considering methods of space travel. They have also learned to synthesize a new fuel using plant extracts and sea life. Since integrating pre-existing pipelines to their fuel reservoirs, they can direct full to a number of diverse areas, including the PMV Valdez. New weapons research and insights into new polymeric combat armor, with enhanced heat and penetration resistance, look like promising additions to the Shi armament, particularly when viewed in context with their construction capabilities. It is forecast that, with vertibird schematics, a prototype could be manufactured in a year. In an additional year, mass vertibird production would be viable.
Other, less militaristic, advances include radiation-resistant plant life in the Shi botany department, which is led by Dr. Sheng. Initial experimentation yielded results with unpleasant side effects, so it was posited that research be redirected to more critical areas. After Dr. Long Wang's experimentation of injecting himself with a FEV-derived serum to manufacture super soldiers failed, his genetic research department was merged with Dr. Sheng's botany department. Due to this merging, research on radiation-resistant plant life was resumed. The research culminated in a radiation consuming vine that scoured the San Francisco area of radiation after the Enclave's destruction.