China's Industrial Challenges and AI Competition

This chapter explores the overcapacity issues in China's industrial sector, particularly in steel and electric vehicles, leading to aggressive price cuts and weak profits. It also examines the dynamic AI landscape, focusing on the competition between large tech firms and startups, alongside the challenges of monetizing AI services. The discussion addresses the role of government support for AI and speculates on the profitability prospects of various initiatives amidst ongoing economic pressures.