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Six months after DeepSeek’s breakthrough, China speeds on with AI

Real-world applications have priority over cutting-edge development.

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The importance of artificial intelligence for China is through its adoption, adaptation and diffusion, that is, spreading the use of the technology more broadly.

The importance of artificial intelligence for China is through its adoption, adaptation and diffusion, that is, spreading the use of the technology more broadly.

PHOTO: AFP

The Economist

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The mecca for China’s boom in artificial intelligence (AI) is Liangzhu, a leafy suburb of Hangzhou, the tech-heavy capital of Zhejiang province. The Communist Party has long touted Liangzhu’s famous archaeological remains, dating back to 3300BC, as proof of the age of Chinese civilisation.

Now Liangzhu, with its myriad AI start-ups, represents the future. Investors from all over China flock there to meet growing numbers of founders, app engineers and other AI developers and dreamers. It is six months since a barely known AI start-up, DeepSeek,

caused a huge stir

by releasing an impressive open-source model trained for a sliver of the cost of fancier Western ones.

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