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China Leads Global Generative AI Adoption Amid OpenAI Restrictions

Chinese companies innovate and compete fiercely as OpenAI blocks access, driving local advancements and market shifts.

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A Yordando Technologies staff member discusses the firm’s artificial intelligence-powered kitchen application to visitors during the 2024 World AI Conference in Shanghai on July 6, 2024. Photo: Xinhua
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Overview

  • Over 80% of Chinese businesses have adopted generative AI, surpassing global averages.
  • OpenAI's recent API block in China has prompted developers to seek alternatives through VPNs and domestic AI services.
  • Local tech giants like ByteDance, Alibaba, and startups are rapidly advancing AI infrastructure and capabilities.
  • Microsoft Azure remains a loophole for Chinese developers to access OpenAI models despite the ban.
  • China leads in generative AI patents, highlighting its significant progress and investment in the field.