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"Chinese Companies Lead World in AI Adoption Rate... Full Implementation Trails Behind the US"

Survey of AI Decision Makers in 1,600 Global Companies
83% of Chinese Companies Adopt Generative AI, 65% in the US
Only 19% Fully Implemented, Lagging Behind the US (24%)

"Chinese Companies Lead World in AI Adoption Rate... Full Implementation Trails Behind the US"

As the global competition to develop generative artificial intelligence (AI) intensifies, Chinese companies are leading in the adoption of generative AI. However, they are reportedly lagging behind the United States in the full implementation of the technology.


According to a survey by AI analytics and software development firms SAS and Coleman Parks Research, cited by CNBC on the 10th (local time), 83% of Chinese companies surveyed have adopted generative AI technology, ranking first among the countries surveyed. This surpasses the United Kingdom (70%), the United States (65%), and Australia (63%). The global average was 54%.


The survey targeted decision-makers responsible for generative AI strategies or data analytics across 1,600 companies worldwide, focusing on major industries such as banking, insurance, healthcare, telecommunications, manufacturing, retail, and energy.


The leading adoption rate among Chinese companies is attributed to a high participation rate in AI experimentation. 64% of Chinese companies responding to the survey are conducting early experiments with generative AI, followed by the United Kingdom (58%) and the United States (41%).

"Chinese Companies Lead World in AI Adoption Rate... Full Implementation Trails Behind the US" [Image source=Reuters Yonhap News]

Although many Chinese companies are conducting tests for generative AI adoption, they are struggling to fully implement the technology and integrate it into their business models. While 24% of U.S. companies surveyed have fully implemented generative AI technology, only 19% of Chinese companies have done so.


Steven Sow, Managing Director at Coleman Parks, pointed out, "China leads in the adoption rate of generative AI itself, but a higher adoption rate does not necessarily translate into effective technology implementation or better profits."


Udo Sglabo, Vice President of Applied AI and Modeling R&D at SAS, emphasized, "To fully leverage the benefits of generative AI, companies must completely integrate the technology into their systems and processes," noting that the U.S. has strengths in this area. He explained that the U.S.'s highly skilled pool of AI experts and researchers, mature ecosystem, culture of innovation, and transparent regulatory environment provide a global advantage.


However, experts predict that China will rapidly catch up to the U.S. as it is actively building regulations and infrastructure related to generative AI. Last month, China launched a three-year plan to strengthen AI chips, generative AI standards, and national-level AI computing power. Additionally, according to the United Nations World Intellectual Property Organization (WIPO) last week, China filed approximately 38,000 generative AI patent applications from 2014 to 2023, overwhelmingly surpassing the U.S. with 6,276 applications.


Vice President Sglabo forecasted, "China has a large population and a rapidly growing digital economy, leading to high demand for AI technology. Fueled by this high demand, Chinese companies will accelerate the adoption of generative AI solutions and integration into business models."


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