1、 itif.org How Innovative Is China in AI?HODAN OMAAR|AUGUST 26,2024 Chinas relentless drive and strategic investments in AI suggest it is only a matter of time before it catches upif not surpassesthe United States early lead.KEY TAKEAWAYS China is the global leader in AI research publications and is

2、neck and neck with the United States on generative AI.However,Chinas research publications have less impact than U.S.ones,with fewer citations and less private-sector involvement.Tsinghua University in Beijing is the breeding ground for Chinas leading AI start-ups,including four of the countrys“AI t

3、igers”Zhipu AI,Baichuan AI,Moonshot AI,and MiniMaxwhich were all founded by faculty and alumni.Chinese large language models are closing the performance gap with U.S.models,with some Chinese models outperforming their U.S.counterparts in bilingual benchmarks.China has less private AI investment than

4、 the United States,but foreign investment in Chinas generative AI sector is growing,with Saudi Arabias Aramco leading the way.State-directed capital funds and financial aid are proving effective at supporting high-potential firms in regions of China the private sector typically underinvests in.China

5、s open-source LLM ecosystem is rapidly advancing,with models such as Alibabas Qwen 1.5 and Zhipu AIs ChatGLM3 outperforming some U.S.counterparts and gaining recognition for their impressive capabilities.U.S.policymakers should not prioritize containing China,but rather craft and fund a comprehensiv

6、e national AI strategy that addresses the twin goals of increased AI development and increased AI adoption to stay ahead.INFORMATION TECHNOLOGY&INNOVATION FOUNDATION|AUGUST 2024 PAGE 2 CONTENTS Key Takeaways.1 Introduction.3 Background and Methodology.4 Chinas AI Industry and Market.4 How China Supp