China

Chinese AI startup Manus gains recognition in state media

Chinese AI startup Manus has registered its AI assistant for the domestic market and gained state media attention, signalling government support for its expansion.

The company, which recently gained global recognition, was featured on China’s CCTV in a segment comparing its AI agent to the chatbot made by DeepSeek’s chatbot.

Beijing’s growing interest in homegrown AI firms follows the success of DeepSeek, which developed competitive AI models at a lower cost than its United States counterparts.

Manus has made headlines for developing an AI agent capable of making autonomous decisions with minimal prompting, a step beyond traditional chatbots like ChatGPT.

The firm recently announced a partnership with Alibaba’s Qwen AI team, a move that could accelerate its rollout in China. Currently, the AI agent is available only through invite codes, with a waiting list of two million users.

Regulatory approval was also secured for Monica, Manus’ AI assistant, allowing its launch in China. All generative AI applications in the country must comply with strict content regulations to align with Beijing’s policies.

Manus’ growing presence in China highlights the government’s strategy of fostering domestic AI innovations while ensuring regulatory oversight.

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AI firm Cognite targets India as global tech hub

Cognite, the Saudi Aramco-backed industrial software company, has launched an AI services centre in Bengaluru as part of its global expansion strategy.

The firm, which specialises in optimising industrial operations, is seeking contracts with major Indian conglomerates and has already secured deals with a leading cement manufacturer and a major automotive firm.

While declining to name the companies, Cognite’s executives confirmed significant investments in the Indian market, with plans for further expansion.

Chief Executive Girish Rishi described India as a key growth destination, highlighting its appeal as an alternative to China for global tech firms.

Cognite’s parent company, Aker ASA, and major shareholders like Saudi Aramco have been supporting its global push, as AI-driven solutions increasingly play a role in industrial automation, safety, and efficiency.

The company, which recently relocated its headquarters to the US, counts AkerBP, Japanese refiner Cosmo Energy Holdings, and US-based Koch Chemical among its major clients.

India’s rapidly expanding technology sector has drawn interest from several global giants, including Apple, Tesla, and Jabil, following the Indian government’s incentives to attract international firms.

With AI transforming industries worldwide, Cognite’s move signals growing confidence in India’s capabilities as a major player in the global tech ecosystem.

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Baidu dismisses claims of leaked user information

Chinese tech giant Baidu has denied claims of an internal data breach after the teenage daughter of a senior executive was accused of sharing users’ personal information online.

The controversy erupted when internet users alleged that the daughter of Baidu vice president Xie Guangjun had posted private details, including phone numbers, following an online dispute.

Baidu insisted that neither employees nor executives have access to user data and claimed the information came from illegally obtained ‘doxing databases’ on foreign platforms.

The company has filed a police report regarding false claims, including allegations that Xie had given his daughter access to Baidu’s databases.

Xie apologised, stating that the data had been sourced from overseas social networking sites.

The case comes amid ongoing crackdown in China on data privacy breaches, with stricter laws in place to prevent unauthorised sharing of personal details.

The controversy has impacted investor confidence, with Baidu’s shares falling more than 4% in Hong Kong trading.

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Tencent sees surge in profits and revenue

Tencent, a leading Chinese tech giant, has reported impressive financial results for the fourth quarter and full year, boosted by its strategic investment in AI.

For the three months ending December 31, Tencent’s net profits soared by 90% year-on-year to 51.3 billion yuan ($7.1 billion), while its revenue increased by 11% to 172.4 billion yuan, surpassing analyst expectations.

The company’s strong performance was attributed to AI-driven enhancements in its advertising platform, growing video account engagement, and solid results from its gaming division.

For the full year, Tencent’s revenue reached 660.3 billion yuan, up 8% from the previous year, with net profits jumping 68% to 194.1 billion yuan.

CEO Pony Ma highlighted the role of AI in driving innovation, noting that Tencent had reorganized its AI teams to focus on fast product development and advanced model research.

The company’s stock price has surged to its highest in nearly four years, reflecting strong investor confidence.

The increased AI interest follows the unexpected global success of DeepSeek, a Chinese startup whose chatbot development caught the attention of investors, positioning China as a competitor to Western tech leaders like OpenAI.

Ma expressed Tencent’s admiration for DeepSeek and confirmed its active integration of their technology. Tencent has also started testing its own AI model, ‘Hunyuan Thinker’, which aims to offer more professional and human-like responses.

Despite its financial successes, Tencent faces ongoing challenges, including a sluggish domestic economy and political tensions, particularly with the US.

In January, the US added Tencent to a list of firms linked to China’s military, a move the company and the Chinese government have criticized as unjustified.

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Tencent unveils new AI tools for 3D visuals

Tencent has unveiled a suite of new AI tools aimed at converting text and images into 3D visuals, showcasing China’s growing presence in the generative AI field.

The company launched five open-source models based on its Hunyuan3D-2.0 technology, including turbo versions capable of producing high-quality 3D visuals in 30 seconds.

A release like this follows Tencent’s push to challenge US dominance in AI, with competitors like AI startup DeepSeek offering similar performance at lower costs.

The launch of Hunyuan3D-2.0 builds on the company’s earlier introduction of 3D AI models, targeting designers and game developers to establish a competitive edge in text-to-3D and image-to-3D generation.

Tencent’s new models are praised for superior text consistency, geometric accuracy, and visual quality compared to leading industry benchmarks.

Meanwhile, ByteDance, the parent company of TikTok, has also entered the text-to-3D market with its VeOmniverse model, though it remains proprietary.

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BMW to equip cars with Huawei HiCar system

BMW will integrate Huawei’s HiCar system into its locally produced models starting in 2026, strengthening its presence in the Chinese market.

The partnership will enable seamless connectivity between Huawei devices and BMW vehicles, enhancing smart driving applications through the Harmony operating system.

The German automaker emphasised its commitment to deeper collaboration with Chinese partners, aiming to integrate them more closely into its global innovation network.

By working with local suppliers, BMW seeks to foster long-term cooperation and technological advancement in one of the world’s largest automotive markets.

An approach that aligns with BMW’s broader strategy of leveraging local expertise to remain competitive in a fast-evolving automotive landscape.

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Baidu launches new AI models to compete in global race

Baidu has unveiled two new AI models, including ERNIE X1, which it claims matches the performance of DeepSeek R1 at half the cost. The company says X1 is a deep-thinking model capable of autonomous tool use, with enhanced reasoning, planning, and adaptability.

Meanwhile, Baidu’s latest foundation model, ERNIE 4.5, boasts improved multimodal capabilities, advanced language understanding, and a better grasp of satire and internet culture.

The Chinese tech giant has been striving to compete in the rapidly evolving AI landscape, where startups like DeepSeek have disrupted the industry with high-performing, cost-effective models. While Baidu was one of the first Chinese companies to launch a ChatGPT-style chatbot, its Ernie LLM has faced challenges in achieving widespread adoption.

With growing competition from domestic and international AI firms, Baidu aims to solidify its position through continuous innovation. The company’s latest advancements highlight the push for more sophisticated AI systems capable of processing diverse forms of data, including text, images, and audio, as China intensifies its efforts to lead in AI.

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DeepSeek focuses on innovation instead of rapid commercial growth

Chinese AI company DeepSeek is prioritising research over revenue, resisting the rush to capitalise on recent sales growth.

Unlike its Silicon Valley counterparts, the firm has chosen to refine its technology rather than focus on immediate profits.

According to sources familiar with its operations, DeepSeek achieved financial stability last month for the first time, with revenues covering ongoing costs.

Despite the financial milestone, its billionaire founder remains committed to long-term innovation rather than aggressive commercial expansion.

The decision reflects a broader trend in China‘s AI sector, where some firms are investing heavily in research to compete globally.

As AI adoption accelerates, DeepSeek’s strategy signals confidence in future breakthroughs over short-term financial gains.

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China announces mandatory AI labelling requirements

Chinese authorities have announced new regulations requiring AI-generated content to be clearly labelled, with the rules set to take effect on 1 September 2025. Officials said the move aims to ensure transparency and support the ‘healthy development’ of AI.

The decision follows global discussions on the risks associated with AI-generated media, including misinformation and deepfakes.

By mandating labelling, China seeks to enhance accountability and distinguish AI-created content from human-generated material.

The new rules reflect the government’s ongoing efforts to regulate emerging technologies while maintaining control over digital information.

With AI playing an increasing role in content creation, policymakers worldwide are considering similar measures.

China’s regulations are expected to influence international approaches to AI governance as other nations evaluate their own strategies for handling AI-generated content.

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Chinese hedge funds boost AI for competitive edge

China’s hedge fund industry is undergoing a transformative shift, spurred by High-Flyer’s integration of AI in its trading strategies. The multi-billion-dollar fund not only uses AI to enhance its portfolio but also created DeepSeek, a game-changing LLM that has disrupted the dominance of Western AI firms like those in Silicon Valley.

The breakthrough has ignited an AI arms race among Chinese asset managers, including firms like Baiont Quant, Wizard Quant, and Mingshi Investment Management, as they rush to incorporate AI into their investment workflows.

AI-powered trading has gained momentum, with many hedge funds now using AI to process market data and generate trading signals based on investor risk profiles. As competition for “alpha” (outperformance) intensifies, the demand for AI talent is surging.

Companies like Wizard Quant and Mingshi are actively recruiting top AI engineers, and even mutual funds, such as China Merchants Fund, have adopted DeepSeek to boost their efficiency. The open-source model has democratised access to AI, lowering the entry barrier for smaller Chinese funds, which had previously been unable to compete with their Western counterparts due to high costs.

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