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    Home » China surges ahead in generative AI adoption
    SAS-Gen AI-China-July-10
    SAS-Gen AI-China-July-10
    AI

    China surges ahead in generative AI adoption

    By Vicky WuJuly 10, 2024No Comments3 Mins Read
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    • China has emerged as the global leader in the adoption of generative artificial intelligence, a recent survey shows.
    • Among the 1,600 decision-makers from various industries worldwide, 83% of Chinese respondents reported that their organizations are currently using GenAI, outpacing US, UK and Australia.

    OUR TAKE
    The SAS report highlights China’s leadership in Continuous Automated Monitoring (CAM), a contentious yet widely implemented application of generative AI. Udo Sglavo, Vice President of Applied AI and Modelling at SAS, notes that the algorithms and processes in CAM are often proprietary and lack transparency, complicating accountability for misuse or errors. He adds that China’s advancements in CAM align with its strategic goal of achieving global dominance in artificial intelligence and surveillance technologies.
    –Vicky Wu, BTW reporter

    What happened

    In a recent survey conducted by SAS and Coleman Parkes Research, China has emerged as the global leader in the adoption of generative artificial intelligence (GenAI) technology, showcasing a significant shift in the international AI landscape. Among the 1,600 decision-makers from various industries worldwide, 83% of Chinese respondents reported that their organizations are currently using GenAI, outpacing major economies such as the United States (65%), the United Kingdom (70%), and Australia (63%).

    This widespread adoption in China has been accelerated since the release of ChatGPT by US-based OpenAI in November 2022, which prompted numerous Chinese companies to develop their own versions of generative AI systems. As a result, China now leads the global patent race for GenAI technology, having filed over 38,000 patents between 2014 and 2023, compared to 6,276 by the United States during the same period.

    Despite restrictions on leading international GenAI providers in China, the country has successfully nurtured a strong domestic industry, with major tech giants like ByteDance and emerging startups such as Zhipu contributing to the ecosystem. Enterprise adoption of GenAI in China is anticipated to soar as price competition drives down the costs of large language model services for businesses, making the technology more accessible and affordable.

    Also read: China holds AI event showing resilience toward US sanctions

    Also read: Nvidia set to make $12B from AI chip sales in China

    Why it’s important

    The global economic impact of GenAI is substantial, with estimates from McKinsey suggesting that it could contribute $2.6 trillion to $4.4 trillion annually across diverse use cases, akin to the 2021 GDP of the United Kingdom. This demonstrates the immense potential for GenAI to enhance the overall influence of AI by 15% to 40%.

    As GenAI continues to evolve and integrate into various sectors, its economic impact is likely to grow, shaping productivity, innovation, and competitiveness on a global scale. The findings from the SAS and Coleman Parkes Research study underscore the dynamic and competitive nature of GenAI adoption, with China leading in usage, the US in maturity, and both nations vying for technological leadership in the AI era.

    This scenario sets the stage for a new chapter in international relations, where technological prowess in GenAI will increasingly become a cornerstone of national competitiveness. As countries vie for dominance, collaborations and partnerships across borders will also play a crucial role in driving innovation and mitigating potential risks associated with AI, such as job displacement, ethical considerations, and privacy concerns. The journey ahead for GenAI is one of immense promise and challenge, promising to reshape economies and societies in profound ways.

    ChatGPT Gegerative AI SAS
    Vicky Wu

    Vicky is an intern reporter at Blue Tech Wave specialising in AI and Blockchain. She graduated from Dalian University of Foreign Languages. Send tips to v.wu@btw.media.

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