China: AI Industry Outlook 2025
On July 13, the “China Internet Development Report (2021)” was officially released at the China Internet Conference.
The report shows that in 2020, the scale of China’s AI industry will be $46.3 billion USD, a year-on-year increase of 15%, slightly higher than the global growth rate.
There are 1,454 AI companies in China, ranking second in the world, next to the 2,257 in the United States. These companies are mainly located in Beijing, Shanghai, Guangdong, and Zhejiang. Among them, Beijing and Shanghai are the top two with 537 and 296 companies, respectively.
According to iiMedia Consulting, over 80% of Chinese netizens are optimistic about future developmental prospects, 47.8% of netizens are relatively optimistic about the prospects of China’s AI development, while 36.8% of netizens believe that the prospects of AI are extremely optimistic. Eighty percent of the companies interviewed said that they attach great importance to AI, and nearly 60 percent of the companies said they will focus on AI in the future.
The scope of application scenarios of AI will continue to expand, deeply expanding into various fields, leading the industry towards the high end of the value chain, while playing an important role in the improvement of people’s livelihood.
The scale of China’s core AI industry is expected to exceed $61.8 billion USD by 2025, and China is expected to develop into the world’s largest AI market.
This is primarily due to the favorable national policy environment, and the economic environment for the commercialization of AI has been stable in recent years.
With demographic changes and social development, companies’ labor costs have gradually risen. Companies have turned to digital transformation and hope to reduce labor costs through the application of AI.
All of these are favorable conditions in the social environment for the commercial development of AI. In 2020, the financing scale of China’s AI industry is $21.6 billion USD, and capitalism continues to be optimistic about the development of China’s AI industry.
