At the recent World AI Conference in Shanghai, China's leading AI company, SenseTime, unveiled its latest model, SenseNova 5.5, which can identify objects, provide feedback on drawings, and summarise text. Comparable to OpenAI's GPT-4, SenseNova 5.5 aims to attract users with 50 million free tokens and free migration support from OpenAI services. The launch of SenseNova 5.5 comes at a crucial time, as OpenAI will block Chinese users from accessing its tools starting 9 July, intensifying the rivalry between US and Chinese AI firms.

OpenAI's decision to block Chinese users has sparked concern in China's AI community, raising questions about equitable access to AI technologies. However, it has also created an opportunity for Chinese companies like SenseTime, Baidu, Zhipu AI, and Tencent Cloud to attract new users with free tokens and migration services, accelerating the development of Chinese AI companies that are already engaged in fierce competition.

Why does this matter?

The US-China tech rivalry has led to US restrictions on exporting advanced semiconductors to China, impacting the AI industry's growth. While Chinese companies are quickly advancing, the US sanctions are causing shortages in computing capacity, as seen with Kuaishou's AI model restrictions. Despite these challenges, Chinese commentators view OpenAI's departure as a chance for China to achieve greater technological self-reliance and independence.