Le Figaro: One Year After DeepSeek's "Shock Bomb", China Aims to Surpass the US in the AI Race

On Saturday, January 17, a report by French newspaper Le Figaro's Asia correspondent Sebastian Faletti on the competition between China and the US in artificial intelligence. The report states that the world's second-largest economy, China, is betting on open models to conquer the global market, although geopolitical tensions are putting pressure on the AI ecosystem.

The report states that a year ago, the rise of Chinese startup DeepSeek was seen as a "shock bomb," causing a huge reaction in the global artificial intelligence competition. Its founder, Liang Wenfeng, a low-key engineer from Guangdong, not only challenged Silicon Valley giants in technology but also achieved remarkable commercial success. His hedge fund High-Flyer achieved a 56% profit in 2025, ranking second among Chinese hedge funds. This is a valuable "war fund" used to support DeepSeek's ambition: to make the world accept "Made in China AI" through low-cost models and surpass the US before Donald Trump and his "tech billionaires".

"China Daily" wrote: "In January 2025, his R1 model demonstrated astonishing advanced capabilities at an extremely low cost, shocking the global AI community. As an advocate of open models, Liang Wenfeng is committed to promoting the democratization of AI." The newspaper also praised him as a role model of "a student from a small town who has grown into a visionary pioneer shaping the future of AI."

With the arrival of the "Fire Horse Year", this 41-year-old entrepreneur may once again create a sensation - the entire tech industry is waiting for the release of his next-generation model R2. The model has been delayed multiple times due to semiconductor shortages caused by U.S. sanctions. According to the website The Information, the new model may be released in mid-February. In a paper published by his team at the end of last December, Liang Wenfeng mentioned that they have made "encouraging" progress.

"Sputnik Moment"

Liang Wenfeng's philosophy is to build an AI that is more cost-effective in terms of investment, energy consumption, and chip usage, thus contrasting with American giants such as OpenAI and Google, which have unparalleled financial firepower and unlimited access to advanced semiconductors. He hopes to conquer emerging markets through a free and open-source model, which is contrary to the closed model advocated by Sam Altman, CEO of OpenAI. In other words, he has turned the U.S. export restrictions on high-end NVIDIA chips into an advantage, promoting a more affordable AI to countries in the Global South.

The report quotes Professor Chen Guoli of INSEAD in Singapore, stating: "The open model helps China export AI solutions globally and reduce dependence on U.S.-controlled platforms."

The "Sputnik Moment" a year ago led to a sharp drop in stock prices of Wall Street tech giants. Patrice Nordi, founder of Shanghai consulting company Trajectry, commented: "This is a bomb to revive China, the result of the authorities' opportunistic use. The open-source model accelerated AI adoption and became a tool of global influence."

Beijing is pushing the rapid popularization of AI with "Chinese characteristics" around the world, and its growth rate is even faster than that of American giants. According to a study by MIT, the number of applications using Chinese models (such as Alibaba's Qwen or DeepSeek) increased by 17% last year, while American companies like Google, Meta, and OpenAI saw only a 15.8% increase. The active users of ByteDance's Douyin app have exceeded 159 million, twice that of Liang Wenfeng's products. Even NVIDIA's founder Huang Renxun said to the Financial Times in November last year: "China will win the AI race."

Conquering the Market of the Future Economy

The report noted that Microsoft's president Brad Smith also sounded the alarm in the same newspaper, worrying that Chinese companies would crush American companies in a price war and take over the market in developing countries.

While American giants burn billions of dollars chasing general artificial intelligence (AGI) with the support of the White House, Chinese companies take a more practical approach under Beijing's requirements. Their primary goal is: to conquer the market of the future economy, combine the industrial strength of the "world factory" with algorithms, and consolidate their dominant position in the global supply chain under the banner of "new quality productivity".

A Different Competition

While Silicon Valley is engaged in a brutal competition with a messianic tone, China is manufacturing humanoid robots, building smart factories, and applying for the most AI patents globally, while winning real market share. This is the significance of China's AI+ strategy: by 2027, to cultivate 2 to 3 enterprises with global influence ecosystems and to create a leading global intelligent manufacturing environment.

Industry expert Nordi told Le Figaro: "The competition between China and the US is a different one. China prioritizes fast and large-scale deployment of AI, while the US relies on a vast private capital market and focuses on the long term."

China's advantages also include cheap power from expanding nuclear power plants and smart energy networks. Additionally, China has a massive "data treasure trove" from the world's largest digital market. A biographer of Jack Ma added: "China's advantage lies in the fact that data is highly concentrated in big companies such as Alibaba, ByteDance, and Tencent, and this country is highly digitized."

Source: rfi

Original: toutiao.com/article/1854573558274379/

Statement: The article represents the views of the author.