China advances AI agents but still trails US in business digitization and cloud adoption

Chinese AI agents like Manus and Alibaba’s Quark have surged in global prominence with millions of users, yet China faces significant challenges in digitizing business processes and cloud computing compared to the U.S. This report explores how these gaps could impact China’s AI leadership ambitions.

Sources:
Rest of World
Updated 1h ago
Section 1 background
China lags significantly behind the U.S. in … digitization of business processes, cloud computing adoption, and workforce training.
Kapoor
Rest of World
Key Facts
  • Manus, developed by Chinese startup Butterfly Effect, launched an invite-only general-purpose AI agent in March 2025 with English-language support, drawing global attention.Rest of World
  • Quark, an all-in-one AI agent powered by Alibaba’s Qwen model, launched in March 2025 and quickly rose to 149 million monthly active users by April 2025.Rest of World
  • Chinese startups Butterfly Effect and Zhipu claim their AI agents outperform OpenAI’s Deep Research in some tasks.Rest of World
  • China is gaining ground in the global race to develop next-generation AI agents designed to handle complex tasks with minimal human input.Rest of World
Key Stats at a Glance
Monthly active users of Alibaba's Quark AI agent
149 million users
Rest of World
Launch month of Alibaba's Quark AI agent
March 2025
Rest of World
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