China

Chinese AI startup DeepSeek expands open-source commitment

Chinese AI startup DeepSeek has announced plans to release five new code repositories next week, reinforcing its commitment to open-source artificial intelligence.

The company, which gained global attention with its R1 reasoning model rivaling Western AI systems, described the release as ‘small but sincere progress’ towards full transparency. These repositories, tested in real-world applications, will provide essential infrastructure to support the AI models DeepSeek has already made public.

DeepSeek has set itself apart in China‘s AI sector by embracing open-source practices, a rare move in a market that typically favours closed-source models.

Founder Liang Wenfeng has emphasised the cultural significance of open-source over commercial gains, highlighting the satisfaction that comes from driving innovation and earning industry respect.

His approach has sparked global interest, particularly after the release of the R1 model, known for its strong performance and cost efficiency.

The company has also recently introduced a new algorithm, Native Sparse Attention (NSA), designed to improve efficiency in long-context training and inference.

DeepSeek’s popularity has surged, becoming China’s leading chatbot service with 22.2 million daily active users, surpassing long-established platforms like Douban. The growing user base and commitment to open-source are positioning DeepSeek as a major player in the global AI landscape.

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Musk faces growing competition in satellite internet

Elon Musk’s Starlink network is facing increasing competition in the satellite internet market, particularly from SpaceSail, a Shanghai-based company backed by the Chinese government, and Amazon’s Project Kuiper. SpaceSail is expanding rapidly, having entered Brazil in November and begun operations in Kazakhstan by January. Meanwhile, Brazil is also in talks with Project Kuiper and Canada’s Telesat to diversify its options for providing high-speed internet to remote areas.

SpaceSail plans to launch 648 low Earth orbit (LEO) satellites this year, with the ambition of deploying up to 15,000 by 2030. This move aims to compete directly with Starlink, which currently operates around 7,000 satellites but plans to increase its constellation to 42,000 by the end of the decade. China’s push into satellite internet is part of its broader strategy to dominate space and digital technologies, which has raised concerns among Western governments, particularly regarding Beijing’s potential to extend its censorship and surveillance reach globally.

China’s rapid expansion in satellite technology, supported by state funding and military research, has intensified. It has launched 263 LEO satellites in the past year alone, and researchers are focusing on low-latency systems to compete with Starlink’s capabilities. The Chinese government is also exploring ways to track and monitor satellite constellations, potentially targeting Starlink as a strategic competitor.

As competition in the satellite internet sector intensifies, particularly between the US, China, and other players like Brazil, the geopolitical and military implications of these space technologies are becoming clearer. With nations striving to secure positions in space, experts warn of an increasingly complex and competitive environment.

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Alibaba commits $52 billion to AI and cloud infrastructure

Alibaba has announced plans to invest at least 380 billion yuan ($52.44 billion) in cloud computing and AI infrastructure over the next three years. This significant investment, revealed on Monday, follows the company’s earnings announcement on Friday, where it reported revenue of 280.15 billion yuan for the quarter ending December 31, slightly surpassing analysts’ expectations. The investment in AI and cloud computing will exceed the company’s total spending in these areas over the past decade.

The announcement marks a strategic push for Alibaba in the rapidly growing AI sector, positioning the company as a key player in China’s AI race. This has already paid off in the stock market, with Alibaba’s shares climbing over 68% so far this year, reflecting strong investor confidence. The move also comes as other Chinese tech giants, such as ByteDance, are making similar investments, with ByteDance reportedly allocating over 150 billion yuan this year to enhance its AI capabilities.

This wave of investment underscores the growing importance of AI and cloud computing to China’s tech landscape. It also highlights the competitive race between Chinese firms to dominate these sectors and secure their positions in the global technology arena.

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China and North Korea-linked accounts shut down by OpenAI

OpenAI has removed accounts linked to users in China and North Korea over concerns they were using ChatGPT for malicious activities.

The company cited cases of AI-generated content being used for surveillance, influence campaigns, and fraudulent schemes. AI tools were employed to detect the operations.

Some accounts produced news articles in Spanish that criticised the US and were later published under a Chinese company’s byline. Others, potentially connected to North Korea, created fake resumes and online profiles in an attempt to secure jobs at Western firms.

A separate operation, believed to be tied to financial fraud in Cambodia, used ChatGPT to generate and translate comments on social media.

The US government has raised concerns over China’s use of AI to spread misinformation and suppress its population. Security risks associated with AI-driven disinformation and fraudulent activities have led to increased scrutiny of how such tools are being used globally.

OpenAI’s ChatGPT remains the most widely used AI chatbot, with over 400 million weekly active users. The company is also in discussions to secure up to $40 billion in funding, which could set a record for a private firm.

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Huawei’s Ren discusses China’s tech growth with Xi

Huawei’s founder Ren Zhengfei told President Xi Jinping that China’s concerns about a lack of domestically developed chips and operating systems have eased, following a meeting with key entrepreneurs. According to Chinese state media, Ren expressed confidence that China would rise faster, thanks to its advancements in technology, particularly in semiconductors and software. The phrase ‘lack of core and soul,’ which refers to the absence of critical technology like chips and operating systems, was first used in 1999 to highlight challenges in China’s information industry.

The meeting, which included prominent founders such as BYD’s Wang Chuanfu and Xiaomi’s Lei Jun, discussed the achievements and growth in sectors like electric vehicles and electronics. Ren’s comments reflected the progress made despite challenges like US sanctions, with Huawei playing a key role in pushing for China’s self-sufficiency. Wang shared how China’s EV industry had grown significantly, while Lei praised Xi’s leadership, stating that under his guidance, any challenges could be overcome.

Other entrepreneurs, including representatives from Will Semiconductor, Unitree Robotics, and New Hope Group, also spoke at the meeting, although details about their comments were not widely disclosed. The meeting was part of a broader push for China to strengthen its technological independence.

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China embraces DeepSeek for AI education

Chinese universities have launched AI courses based on DeepSeek, a breakthrough AI startup from Hangzhou, which has gained significant attention for its advanced models, DeepSeek-V3 and DeepSeek-R1. These courses are part of a broader effort by Chinese authorities to boost scientific and technological innovation in higher education, aiming to create new growth sources for the economy.

Shenzhen University has introduced an AI course focused on DeepSeek, addressing key technologies as well as ethical and security issues. Similarly, Zhejiang University began offering DeepSeek-based courses in February, while Shanghai’s Jiao Tong University has incorporated DeepSeek to enhance its AI learning tools. Renmin University is applying the technology across various academic and research fields.

This educational push aligns with China’s new national plan to build a “strong education nation” by 2035, aiming to establish a world-class, accessible education system. Liang Wenfeng, founder of DeepSeek, recently attended a high-level meeting with President Xi Jinping and other tech industry leaders, further highlighting the significance of the startup’s contributions.

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China’s tech giants take on US rivals in stock market surge

Chinese tech stocks are experiencing a major surge, inspiring catchy nicknames as they rival the United States ‘Magnificent Seven’ tech giants. Driven by excitement around AI startup DeepSeek and perceived state backing following President Xi Jinping’s meeting with business leaders like Alibaba founder Jack Ma, the Hong Kong market has climbed significantly.

The Hang Seng index now ranks among the best-performing major markets this year, with leading firms stepping into the spotlight.

Brokerages have dubbed rising Chinese companies the ‘Seven Sisters,’ likely emerging from sectors like AI, chip-making, and high-end manufacturing. Companies such as Tencent, Alibaba, Xiaomi, and BYD are top contenders.

Another group, the ‘Terrific Ten,’ has also gained attention, with firms like JD.com, Geely, Baidu, and SMIC included, boosting the Hang Seng Tech index by nearly 70% over the past year—outpacing Nasdaq’s 27% gain.

The rivalry pits China‘s rising stars against the US ‘Magnificent Seven,’ a term coined by Bank of America, representing giants like Apple, Meta, and Nvidia.

Meanwhile, UBS has identified eight AI-driven Chinese stocks as the ‘VENUS Eight,’ and DeepSeek features among the ‘Little Dragon’ startups in Hangzhou, signalling China’s growing tech ambitions in the global market.

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TikTok lays off staff in trust and safety restructuring

TikTok is reportedly laying off staff from its trust and safety unit, which is responsible for content moderation, as part of a restructuring effort. The layoffs began on Thursday, affecting teams in Asia, Europe, the Middle East, and Africa. Adam Presser, TikTok’s operations head, sent a memo to staff informing them of the decision, though the company has not yet commented on the move.

The layoffs come at a time when TikTok’s future is uncertain. The app, used by nearly half of all Americans, faced a brief outage last month, followed by a law that came into effect in January, requiring its Chinese owner ByteDance to either sell TikTok or face a national security-related ban. TikTok CEO Shou Chew had previously testified before Congress about the company’s trust and safety measures, pledging to invest more than $2 billion in these efforts.

In line with a shift towards AI-driven content moderation, TikTok had already made significant layoffs in October, including staff in Malaysia. The company currently employs 40,000 trust and safety professionals globally, but the full scope of the recent cuts remains unclear.

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Trump discusses TikTok sale with China

President Donald Trump confirmed on Wednesday that he was in active discussions with China over the future of TikTok, as the US seeks to broker a sale of the popular app. Speaking to reporters aboard Air Force One, Trump revealed that talks were ongoing, underscoring the US government’s desire to address national security concerns tied to the app’s ownership by the Chinese company ByteDance. The move comes amid growing scrutiny over TikTok’s data security practices and potential links to the Chinese government.

The Trump administration has expressed concerns that TikTok could be used to collect sensitive data on US users, raising fears about national security risks. As a result, the US has been pushing for ByteDance to sell TikTok’s US operations to an American company. This would be part of an effort to reduce any potential influence from the Chinese government over the app’s data and operations. However, the process has faced complexities, with discussions involving multiple stakeholders, including potential buyers.

While the negotiations continue, the future of TikTok remains uncertain. If a sale is not agreed upon, the US has indicated that it could pursue further actions, including a potential ban of the app. As these talks unfold, the outcome could have significant implications for TikTok’s millions of American users and its business operations in the US, with both sides working to find a solution that addresses the security concerns while allowing the app to continue its success.

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Ant Group moves into humanoid robotics as China boosts sector

Ant Group, the Alibaba-linked fintech giant, has entered the humanoid robot industry, joining other major Chinese technology firms investing in this rapidly expanding field. The company has begun hiring for robotics-related positions through its subsidiary, Shanghai Ant Lingbo Technology, which was established in late 2024 with registered capital of 100 million yuan ($13.73 million).

The Chinese government has identified humanoid robots as a key driver of economic growth and technological competition with the United States.

Several Chinese companies are advancing in the humanoid robotics sector, with firms like UBTech and Unitree gaining attention for their cutting-edge designs. Unitree has showcased robots capable of walking, climbing, and carrying loads, further fuelling interest in the sector.

President Xi Jinping recently highlighted the importance of the industry by giving Unitree’s founder a front-row seat at a private sector meeting.

Large Chinese corporations are exploring humanoid robotics through direct research or investment. Xiaomi has been developing robots since at least 2022, launching its CyberOne model, while Tencent has supported the industry through strategic investments, such as its 50 million yuan backing of Shenzhen-based Leju Robot in 2018.

As interest in robotics accelerates, China is positioning itself as a global leader in the field.

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