US AI dominance vulnerable to China amid long-term ‘structural challenges’, scholar says

This analysis from a leading Chinese scholar underscores the intensifying AI competition between the US and China, a dynamic that profoundly impacts Asia’s tech ecosystem. China’s strategic focus on energy and industrial applications for AI, as highlighted by Li Cheng, indicates a pragmatic approach to leveraging its existing strengths. This contrasts with the US’s emphasis on advanced chip technology, suggesting a divergence in AI development pathways that could lead to different areas of global leadership.

For Asian markets, this competition presents both challenges and opportunities. Countries in the region, many of whom are deeply integrated into global supply chains, will need to navigate the implications of a bifurcated AI landscape. The potential for China to establish a strong “AI moat” through industrial applications could create new regional standards and market demands, influencing investment flows and technological partnerships across Asia. This strategic rivalry will likely accelerate innovation within the continent, as nations seek to develop their own AI capabilities and secure their positions in the evolving global tech order.