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From Chatbots to Smart Toys: AI’s Rapid Growth in China
- 11:49 am
- March 22, 2025
Eight-year-old Timmy sat hunched over his chessboard, deep in concentration, as he faced off against his robotic opponent powered by artificial intelligence. But this wasn’t a high-tech lab or an AI exhibition — this robot had become part of his everyday life, residing on the coffee table of his Beijing apartment.
The first night the robot arrived, Timmy gave it a warm hug before heading to bed. He hasn’t named it yet, but he already sees it as more than just a machine. “It’s like a little teacher or a little friend,” he said, as he proudly showed his mother his next move.
Moments later, the robot blinked its digital eyes and chimed: “Congrats! You win.” As it began resetting the board for a new game, it continued in Mandarin: “I’ve seen your ability. I will do better next time.”
China’s AI Ambitions
China is embracing artificial intelligence as it pushes to become a global tech superpower by 2030. The breakthrough Chinese chatbot, DeepSeek, which grabbed headlines in January, was just a glimpse of this ambition.
Investment is flooding into AI enterprises, driving fierce domestic competition. Currently, more than 4,500 firms are developing and selling AI technologies. Schools in Beijing plan to introduce AI courses for primary and secondary students later this year, and universities are expanding spots for students eager to study the field.
“This is an inevitable trend. We will co-exist with AI,” said Timmy’s mother, Yan Xue. “Children should become familiar with it as early as possible. We shouldn’t reject it.”
Yan Xue was convinced the robot’s $800 price tag was a worthy investment because it not only plays chess but also teaches Go, another complex strategy game. The robot’s creators are already planning to add a language tutoring feature.
China’s Race for Tech Dominance
Perhaps this aligns with what the Chinese Communist Party envisioned back in 2017 when it declared AI as “the main driving force” behind the nation’s progress. Now, President Xi Jinping is heavily investing in AI as China’s economy contends with US-imposed tariffs.
Beijing has outlined a plan to pour 10 trillion yuan ($1.4 trillion) into tech advancements over the next 15 years, competing with Washington for supremacy in AI and other emerging technologies. The government’s latest political assembly has given AI funding another boost, following the creation of a 60 billion yuan AI investment fund in January, just days after the US imposed tighter export controls on advanced chips and added more Chinese firms to its trade blacklist.
However, DeepSeek has demonstrated that Chinese companies can navigate these obstacles, stunning Silicon Valley and industry experts who didn’t expect China to catch up so quickly.
Engineering Success and Global Surprise
Tommy Tang, who has spent the past six months promoting his firm’s chess-playing robot, is no stranger to international surprise. Timmy’s robot hails from his company, SenseRobot, which gained fame in 2022 when its advanced model defeated chess Grand Masters.
“Parents always ask the price first, then they ask where I’m from. When I say China, there are always a couple of seconds of silence,” Tang said with a smile. SenseRobot has now sold over 100,000 units and secured a deal with the US retail giant Costco.
China’s secret weapon may be its young talent. In 2020, over 3.5 million Chinese students graduated with degrees in science, technology, engineering, and mathematics (STEM) — more than any other country. As Xi told party leaders recently, “Building strength in education, science, and talent is a shared responsibility.”
Abbott Lyu, vice president of AI toy-maker Whalesbot, echoes this sentiment. “We’ve accumulated talent and technology for decades,” Lyu said, as a child controlled a roaring dinosaur toy through code assembled on a smartphone. Whalesbot’s products aim to teach coding to children as young as three, with toys priced as low as $40.
China’s AI industry isn’t slowing down. Companies are driven by a spirit of innovation and cost-efficiency. Tang revealed that SenseRobot initially faced challenges with the cost of its robotic arm, which would have pushed the price to $40,000. By integrating AI into the manufacturing process, they reduced it to just $1,000.
“This is innovation,” he said. “Artificial engineering is now embedded into our production.”
As China applies AI on a massive scale, its ambitions extend beyond consumer products. The government envisions AI-powered humanoid robots assisting its rapidly aging population and enhancing factory productivity. President Xi has set “technological self-reliance” as a cornerstone of China’s future, preparing the nation for a marathon to lead the AI revolution.
“DeepSeek means the world knows we are here,” said 26-year-old engineer Yu Jingji at a recent AI fair in Shanghai, where robots played football in front of excited crowds. “The future belongs to AI, and China is ready.”
China’s AI journey is just beginning, but with its rapidly growing talent pool, bold investments, and culture of relentless innovation, the race is heating up. The dragons are rising, and the world is watching.
