Gelonghui, July 6th: The three major A-share indices opened lower in the morning, then surged higher but subsequently fell back. As of the midday break, the Shanghai Composite Index was down 0.53%, the Shenzhen Component Index fell 0.39%, the Beijing Stock Exchange 50 Index dropped 0.76%, and the ChiNext Index declined 0.61%.
In terms of sector performance, CPO and AI concept stocks rebounded across the board, with storage chips, computing power, and AIGC-related sectors posting significant gains.
In the ETF market, the Smart Car ETF managed by Fullgoal Fund, the Cloud Computing ETF by China Merchants Fund, the Gaming ETF and Artificial Intelligence AI ETF by China AMC, the 5G 50 ETF by Bosera Fund, the Cloud Computing ETF by E Fund, the Artificial Intelligence ETF by HuaFu Fund, the Telecommunications ETF by Harvest Fund, the Cloud Computing 50 ETF by China AMC, the AI Artificial Intelligence ETF by Ping An Fund, the Big Data ETF by Penghua Fund, and the Artificial Intelligence ETF by E Fund all rose.
On the news front, the 2023 World Artificial Intelligence Conference is being held from July 6 to 8 in Shanghai under the theme “Intelligent Connection of the World, Generating the Future.” It focuses on the development of general artificial intelligence, fostering a positive innovation ecosystem, embracing the new era of intelligence, and discussing the future of the industry.
Xu Xiaolan, Vice Minister of the Ministry of Industry and Information Technology, stated during her opening remarks that China’s artificial intelligence industry is flourishing.
First, the industrial system is gradually improving, with the core industry reaching a scale of 500 billion yuan, and more than 4,300 enterprises. Continuous innovative achievements have been made, including the development of smart chip frameworks and general large-scale models.
Second, infrastructure layout is accelerating, with cloud computing, intelligent computing, and supercomputing developing in tandem. The scale of computing power ranks second globally, major projects like the 'East Data West Computing' initiative are progressing rapidly, and there are over 2.8 million 5G base stations. Pilot programs for industrial data labeling and registration have also been launched.
Third, the depth of integrated applications has expanded, with artificial intelligence deeply integrated into manufacturing, strongly driving the digital, intelligent, and green transformation of the real economy. More than 2,500 digital workshops and smart factories have been built. After intelligent upgrades, R&D cycles have been shortened by approximately 20.7%, production efficiency has increased by about 34.8%, defective product rates have decreased by about 27.4%, and carbon emissions have been reduced by around 21.2%.
Elon Musk, founder of Tesla, predicted via video at the opening ceremony that full self-driving would be achieved later this year. “I can’t guarantee it with absolute certainty, but the trend points toward achieving full self-driving later this year.” He noted that limited artificial intelligence and general artificial intelligence are entirely different, with general artificial intelligence being much smarter than humans in every aspect. He emphasized the importance of having regulations in place to oversee such research.
Moreover, Musk stated that the positive impact would be humanity entering a post-scarcity era, which will be an age of abundance where robotic productivity will far exceed human-led productivity.
Musk emphasized that China has a vast number of intelligent and talented individuals. Once China decides to pursue a goal, it can excel in any industry, across all economic sectors, including the artificial intelligence sector. Therefore, he believes that China will possess strong AI capabilities.
Ken Hu, Huawei's Rotating Chairman, delivered a keynote speech titled 'Winning Together in the New Era of Artificial Intelligence' at the opening ceremony. He stated that the key to advancing artificial intelligence lies in staying grounded, promoting deeper integration and practical applications of AI to empower industrial upgrades. At this stage, looking toward the future, Huawei has two focal points for AI development: First, building a robust computing infrastructure to support the growth of China's AI industry. Second, ensuring AI truly serves various industries and fosters scientific research and innovation.
Shanghai Securities believes that the implementation and iteration of artificial intelligence technology require support in computing power and communication, especially during the model training phase, where sufficient computing power is essential for model training and rapid iteration. The demand for computing power on the hardware side is still in its early growth phase. As artificial intelligence companies like OpenAI reduce API call rates in the future, downstream application fields continue to expand, and penetration rates increase, there will be a long-term, high-certainty growth space in the AI infrastructure domain.
