China has emerged as the global frontrunner in the adoption of generative AI, according to a survey, conducted by SAS and Coleman Parkes Research.
What Happened: The survey, which included 1,600 decision-makers across various industries worldwide, found that 83% of Chinese respondents are using generative AI, reported Reuters. This figure significantly surpasses the global average of 54% and the 65% adoption rate in the U.S.
Generative AI, the technology that powers OpenAI's ChatGPT, has seen rapid adoption in China since the launch of ChatGPT in November 2022. The survey results highlight China's swift progress in this field, with numerous Chinese companies launching their versions of the technology.
Despite restrictions on international generative AI service providers like OpenAI, China has fostered a robust domestic industry, with tech giants like ByteDance and startups like Zhipu offering their solutions.
The survey also noted that China leads the world in continuous automated monitoring (CAM), which it described as "a controversial but widely deployed use case for generative AI tools." a widely used but controversial application of generative AI tools.
However, concerns about transparency and potential misuse of CAM have been raised.
Why It Matters: China's lead in the generative AI race is not a sudden development. A UN report published earlier this month highlighted China's surge in generative AI patents, despite U.S. sanctions. The country has filed six times more patents than the U.S., indicating a significant lead in this field.
Meanwhile, the competition within China's AI industry is intensifying. On Tuesday, it was reported that tech giants like Alibaba Group Holding (NYSE: BABA) and Baidu Inc. (NASDAQ: BIDU) are slashing the prices of their AI models to compete with domestic AI startups.
Baichuan AI's CEO sees price competition as a positive, expecting it to drive wider adoption of AI technologies. However, Zhang Peng, CEO of Zhipu AI, cautions that excessive price reductions are unsustainable and could damage the market over time.