Chinese tech giant Baidu has unveiled a new Artificial Intelligence reasoning model, X1, and made its AI chatbot services free to consumers. This move comes amidst intense competition in the sector following the disruptive entry of DeepSeek earlier this year. Baidu’s X1 model, which aims to deliver similar performance to DeepSeek’s renowned model but at a reduced cost, along with the newly launched Ernie 4.5 foundation model, is part of Baidu’s strategic plan to bolster its position in the rapidly evolving AI landscape.
The Ernie 4.5 model, as claimed by Baidu, outperforms OpenAI’s GPT-4.5 across multiple benchmarks, indicating a significant competitive edge. Furthermore, Baidu has abolished subscription fees for its Ernie Bot, making advanced AI technology more accessible to individual users. This strategic enhancement accelerates competition with other major industry players, including ByteDance and Moonshot AI, who have been gaining traction with their consumer-facing AI solutions.
Baidu’s decision to open-source its AI models from June 30 signifies a pivotal shift to encourage broader adoption and innovation within the community. The release has positioned Baidu at the forefront of AI advancements in China, challenging US-based technologies while reinforcing China’s commitment to leading in AI development. With DeepSeek’s cost-efficient model having already made waves, Baidu’s latest move reflects a broader trend of integration and competition within the industry, influencing both market dynamics and future technological progress.
