China is making bold moves to become a leader in artificial intelligence. Unlike the United States, which is heavily investing in AI research and development with a focus on human-level intelligence, China has a different strategy. The Chinese government recently announced a ten-year plan called “AI+,” aiming to fully embed AI into every part of the country’s economy by 2035. This plan describes AI as a “key growth engine,” similar to how the internet transformed economies decades ago.

China’s Practical Approach to AI Integration

China has already begun rolling out AI across many sectors. The Wall Street Journal highlights that AI is now part of China’s infrastructure, from manufacturing plants to weather forecasting. Even Chinese-made self-driving Teslas are part of this AI push. The idea is to use AI for practical purposes rather than just research or theoretical work. This focus on tangible applications is seen as a way to boost economic growth and improve daily life.

Comparison with the US AI Strategy

While China moves ahead with real-world AI projects, the US is more focused on high-profile, consumer-oriented AI products. American companies have spent much more money on AI — nearly twelve times more than China in 2024 — but are still catching up in terms of benchmarks. Most US AI efforts are controlled by a few big tech giants and tend to focus on generating text, images, and videos for consumers. This has led to an influx of algorithms creating content, which some say floods the internet with less meaningful material.

Meanwhile, the US government is pouring $500 billion into building an AI infrastructure that could bring the country closer to human-like AI. In contrast, China’s government prefers to support startups that develop AI for practical uses. Earlier this year, China launched an $8.4 billion AI investment fund aimed at backing companies working on real-world applications. According to Julian Gewirtz, a former security official, China sees AI not as an abstract future technology but as something they can leverage right now for economic and social benefits.

The Role of Xiong’an and Smart City Initiatives

One prime example of China’s AI-driven development is Xiong’an, a city planned from scratch near Beijing. Launched in 2017, Xiong’an is meant to be a “city of the future,” incorporating AI, 5G, autonomous vehicles, and renewable energy. The city is already using AI in many ways, from farm management to robotic coffee shops and even handling calls for local government services. This city is a testing ground for China’s vision of a smart, AI-powered urban space.

It’s clear that China’s approach is very different from the US. While the US bets on big tech companies and consumer products, China is investing directly in practical, impactful AI projects. Whether this strategy will succeed remains to be seen. China has a mixed history with large-scale initiatives, but its focus on immediate applications might give it an edge in turning AI into a real driver of economic change.

The world is watching to see if China’s AI ambitions will reshape its economy by 2035. If they do, it could mean a significant shift in how nations harness technology for growth and innovation.

Inspired by

• https://futurism.com/china-ai-deepseek-everywhere

Sources

• gmpg.org
• wsj.com
• thediplomat.com
• bloomberg.com
• chinascope.org