"Chinese generative AI to account for a third of industry’s economic value by 2035, Beijing think tank says"

That seems a lofty target but it also seems the whole country is mobilized to extract value out of the entire AI ecosystem, from chips to software to use cases so maybe 1/3 of the pie isn't so lofty.

From the South China Morning Post, December 15:

A research unit affiliated with China’s industry ministry predicts generative AI in China will produce US$4.2 trillion in economic value in the next 12 years
The manufacturing, retail, telecoms and healthcare industries are leading adoption of these technologies, the group said, which have been proliferating in China

Chinese generative artificial intelligence (AI) will contribute 30 trillion yuan (US$4.2 trillion) worth of economic value, out of the industry’s 90 trillion yuan globally, by 2035, a Beijing think tank affiliated with China’s industry ministry predicted in a report.

In the near term, China’s generative AI market is expected to reach 10 trillion yuan this year as adoption accelerates across traditional industries, according to a summary of the report by the CCID Group, a research unit affiliated with Ministry of Industry and Information Technology (MIIT), that was widely reported by the state media this week.

The adoption rate of generative AI – the technology driven by large language models like those powering OpenAI’s ChatGPT – has reached around 15 per cent in China, according to CCID. Manufacturing, retail, telecoms and healthcare are the four major areas driving the application of such technologies, Zhou Debao, an AI analyst for CCID, was quoted as saying by state broadcaster China Central Television....

....MUCH MORE

The Chinese have been working toward AI dominance for years, from 2019's "China's AI Dream: The Plan and the Players" through to June 2023's "Microsoft helped build AI in China. Chinese AI helped build Microsoft." (MSFT)":
Microsoft R&D in China is a huge effort. So big that MSFT has become a bit nervous about the exposure to the diktats of The Party and Government. So they are moving big chunks of the operation to Canada.

From January 2018's "Can Chinese AI Chip Makers Compete with Nvidia?" (NVDA) and "Military AI: China, Russia and the U.S. are Running Neck-and-Neck in an Arms Race" and ""China wants to make the chips that will add AI to any gadget" to November 2023's "Kai-Fu Lee's AI Firm Stockpiled 18 Months of Nvidia GPUs Before Export Ban" and September 2023's "Chips: "Teardown of Huawei's new phone shows China's chip breakthrough".

If the reader is interested we have dozens hundreds of posts on China and chips and computers and AI. Use the 'search blog' box, upper left.

Here's more on the entire country seemingly moving in lockstep, July 2023:
"Billionaires and bureaucrats mobilize China for AI race with US"
As if having Dr. Lee put together his Manhattan Project team, "Kai-Fu Lee launches AI start-up to seize on ‘historical opportunity’ to build Chinese LLMs"wasn't enough, the whole country seems re-energized.