Huang Xiaozhen, head of business-to-business operations at MiniMax Group Inc, envisions a future where artificial intelligence (AI) becomes as ubiquitous as electricity. For Huang, a leading figure in one of China’s emerging AI unicorns, the current wave of innovation represents a transition toward integrating AI into daily life rather than merely a leap in computing power. “As the technology iterates, AI will become like water, electricity or coal — the fundamental infrastructure of our existence,” he stated.
This vision resonates with the official stance outlined by the Communist Party of China (CPC) in its recommendations for the 15th Five-Year Plan (2026-30). The Party is pushing for “forward-looking plans” to explore diverse technological roadmaps, application scenarios, and business models. Notably, the document emphasizes emerging sectors like quantum technology, biomanufacturing, and embodied artificial intelligence, highlighting their potential as new drivers of growth.
China’s confidence in AI innovation received a notable boost in April 2025, when President Xi Jinping visited the Shanghai Foundation Model Innovation Center, a key hub for AI development. In addressing developers and entrepreneurs, Xi described artificial intelligence as “a young cause, and a cause for young people,” urging them to align their ambitions with China’s modernization efforts. The visit underscored the government’s commitment to fostering a vibrant AI ecosystem.
According to the Ministry of Industry and Information Technology, China boasted over 6,000 AI enterprises last year, and the core AI industry is projected to surpass 1.2 trillion yuan ($172.6 billion) by 2025. This optimism is shared among startup executives, who regard Xi’s visit and subsequent policy measures as a validation of their efforts amid intense competition.
Zhang Yun, deputy general manager of the Shanghai Foundation Model Innovation Center, noted that nearly 75 percent of their workforce is under the age of 35. He highlighted a trend where the sector is driven by younger founders who are innovating rapidly. “As AI tools become more powerful, teams are getting smaller, younger and faster,” Zhang remarked, emphasizing a philosophy of proximity that fosters rapid iteration among foundational model developers and application companies.
Yao Zhendi, CEO of Cyber Partner AI Co, reinforced the idea that the sector’s youthful demographic aligns with the nature of the technological challenges they face. “We’re no longer doing ‘one to 10’ innovation, where you just improve something that already exists,” he explained. “We’re doing ‘zero to one.’ There’s no formula and no homework to copy. We’re defining what this technology becomes.”
The national strategy in the 15th Five-Year Plan aims for a paradigm shift in scientific research, advocating for self-reliance in breakthroughs related to chips, algorithms, and data. Wang Le, CEO of Shanghai SiliconPear Technology Co, highlighted this transformation in traditional manufacturing. His company exports to over 30 countries and utilizes AI to upgrade conventional toys into high-tech consumer products, thereby enhancing the competitive edge of Chinese goods globally.
Xi’s visit to the Shanghai Foundation Model Innovation Center followed a critical Political Bureau study session, reiterating the need for a healthy and orderly development of AI. Huang from MiniMax affirmed that state support is being felt across the AI value chain, leading to rapid innovation and technical iteration. “Many new startups are designing products and use cases based entirely on current AI capabilities,” he added.
Zhou Chen, CEO of Zhejiang Dex-Robot Intelligent Technology, pointed to Xi’s call for accelerating AI’s application in technological innovation as a boon for enterprises. He cited government measures such as subsidized computing power and a pilot program for new AI models. China has also launched a 60 billion yuan fund to support its burgeoning AI industry. “They allow companies to be bold and try things first,” Zhou said, noting the positive impact on efficiency and manufacturing quality.
While domestic development remains a priority, there is also an international dimension to China’s AI ambitions. Yan Weixin, chief scientist at the Shanghai Artificial Intelligence Research Institute, mentioned that Xi has advocated for AI to serve as an international public good. China has initiated projects related to AI reinforcement learning and sustainable development, sharing algorithms and models with countries involved in the Belt and Road Initiative.
Highlighting the interplay between energy and computation, Yan stated, “AI consumes energy, and energy defines computing power. In the future, there will be deep integration between new energy and dynamic computing.” This perspective underscores the transformative potential of AI not only within China but also on a global scale.
Otto Heinrich Herzog, an academician of the German National Academy of Science and Engineering, remarked on the speed at which policy translates into implementation in China. “When something aligns with strategy in China, it really gets implemented,” he noted, contrasting this with the slower pace often observed in Europe. As China forges ahead, the implications for AI development could resonate well beyond its borders.
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