China’s artificial intelligence (AI) industry is poised for explosive growth, fueled by substantial investments and government support. Chen Liang, Chairman of China International Capital Corporation (CICC), predicts that China’s AI sector could attract over 10 trillion yuan (US$1.4 trillion) in investments over the next six years. This projection was made during the International China Investment Forum, where Liang highlighted the immense potential for expansion in China’s AI market.
The CICC forecasts that the demand for AI in China could reach 5.6 trillion yuan by 2030. This growth is driven by significant investments from local tech companies in developing advanced AI models, particularly large language models similar to OpenAI’s ChatGPT. These models are being integrated into various sectors, including healthcare, legal services, entertainment, and logistics, to improve efficiency and productivity.
The first half of 2024 witnessed the launch of over 237,000 AI-related companies in China, bringing the total number of registered AI businesses in the country to approximately 1.7 million. This surge in AI activity is a testament to Beijing’s commitment to making AI a national priority. The Chinese government has implemented favorable policies to encourage the growth of the industry, especially in light of the escalating competition with the United States.
AI is being positioned as a key driver of industrial transformation in China. The country led global robot installations in 2022, accounting for 52% of total installations worldwide. Advances in AI are also enhancing the robotics industry. The recent World Robot Conference showcased AI-powered robots designed for a wide range of tasks, from household chores to industrial operations such as sorting medicine or managing factory goods.
With its government support, industry investments, and the development of advanced AI technologies, China is well-positioned to become a global leader in the AI space. The country’s rapid advancements in AI are transforming various sectors, driving economic growth, and shaping the future of technology.
