China sees surge in new AI companies
More than 1.48 million of these were established post-2017, following the State Council’s AI development plan.
Mainland China has seen a significant surge in AI company registrations, with over 237,000 new firms added in the first half of this year, according to Qichacha, a corporate database platform. The increase in AI companies brings the total number of AI-related companies to 1.67 million due to Beijing’s dedicated efforts to promote AI development.
Notably, almost 90% of these companies, amounting to over 1.48 million, were established after 2017. This surge followed the State Council’s publication of the Next Generation Artificial Intelligence Development Plan, aiming to position China as a global leader in AI technology.
The rise in AI company registrations peaked last year with a record of more than 467,000 new firms, spurred by the public release of ChatGPT by Microsoft-backed OpenAI in late 2022.
The boom in AI firms highlights China’s burgeoning unicorn landscape, producing four prominent ‘AI tigers’ – Baichuan, Zhipu AI, Moonshot AI, and MiniMax – each securing billions in investments. However, the fierce competition in the sector has also led to a decline in operational AI companies, with only about 419,000 of the new enterprises from last year still active.
Despite the competitive pressures, Beijing continues to bolster the AI industry through supportive policies. Premier Li Qiang introduced the AI Plus initiative at the Two Sessions earlier this year, aiming to integrate AI technology across traditional industries to enhance efficiency and drive economic growth.
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