Alibaba

Baidu

ByteDance (TikTok)

DeepSeek

Meituan

Pinduoduo (Temu)

Xiaohongshu (RedNote)

Most Watched

Southeast Asia

China

Middle East

Japan

South Korea

Europe

Places

KrASIA Connection

Deals in Brief

Our Events

View All Collections

Collections

Events

Ecosystem

Insights

Features

About

36Kr (EN)

News

China's low-altitude economy is gaining momentum, with plans to integrate general aviation equipment into daily life by 2030. One company at the forefront is <a href="https://muyusky.com/">Muyu Sky</a>, a Jiangsu-based developer of electric vertical takeoff and landing (eVTOL) drones designed for cargo and passenger transport, as well as emergency applications like wildfire suppression and maritime search and rescue.
A key challenge in eVTOL development is transition flight—the shift between vertical takeoff, fixed-wing cruising, and vertical landing. According to Wang Yong, chairman of Muyu Sky, out of nearly 1,000 eVTOL projects worldwide, only eight have successfully executed transition flights with aircraft exceeding one ton. Muyu Sky reportedly ranks fifth globally and is the first to achieve this milestone using a hybrid-powered system.
Unlike fully electric competitors, Muyu Sky employs a hybrid electric propulsion system, using electric power for takeoff and landing while relying on fuel for cruising. This design enables mid-flight battery recharging, improving range, payload capacity, and reliability while lowering operational costs.
Muyu Sky’s flagship cargo models include the AT1300 and AT8000. The AT1300, a 1.3-ton hybrid eVTOL, can carry 500 kilograms over 1,000 kilometers. It has completed transition flight tests and is undergoing certification, with a Civil Aviation Administration of China (CAAC) type certificate expected by late 2025.
<figure id="attachment_152055" aria-describedby="caption-attachment-152055" style="width: 720px" class="wp-caption aligncenter"><img loading="lazy" decoding="async" class="wp-image-152055" src="https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000-1024x683.jpg" alt="" width="720" height="480" srcset="https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000-1024x683.jpg 1024w, https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000-300x200.jpg 300w, https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000-768x512.jpg 768w, https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000-1536x1024.jpg 1536w, https://console.kr-asia.com/wp-content/uploads/2025/02/Muyu-Sky-AT8000.jpg 1920w" sizes="(max-width: 720px) 100vw, 720px" /><figcaption id="caption-attachment-152055" class="wp-caption-text">Image and header image source: Muyu Sky.</figcaption></figure>
The AT8000, reportedly the world’s largest heavy-lift eVTOL, has a maximum takeoff weight of 8 tons and a 3.5-ton payload capacity over 1,000 kilometers. It outperforms competitors, including a 4.3-ton US model, while significantly lowering ton-kilometer transportation costs. Primarily designed for logistics, the AT8000 is expected to outperform large cargo aircraft in efficiency for mid-range deliveries.
Muyu Sky differentiates itself with full in-house R&amp;D, overseeing aircraft design, aerodynamics, propulsion, and avionics. The company also develops high-performance aviation motors tailored for operational requirements, ensuring superior aircraft performance.
whereRelatedArticle
The AT8000 has completed design and validation tests, and a full-scale prototype is in development, with a maiden flight planned for late 2025. The company has secured logistics partnerships and is developing a passenger eVTOL.
With a team of over 70 industry professionals, including experts from the Commercial Aircraft Corporation of China (COMAC), the Aviation Industry Corporation of China (AVIC), and leading aeronautical universities, Muyu Sky is cued to become a future leader in eVTOL solutions for logistics and emergency response.
​​​​KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3159314127329792">article</a> was written by Zhang Zhuoqian for 36Kr.

Muyu Sky soars ahead with heavy-lift hybrid eVTOL drones

Transportation

Electric Vehicles

Mobility

eVTOLs

… short term, it will reduce the US AI's competitiveness in the long run, according to Chen.
"China is a very big and competitive market for AI. We need players like DeepSeek to push us in the US," he added.
A total ban on DeepSeek would also need the cooperation from nearly all big tech companies. Major cloud providers in the US, including Microsoft's Azure and Amazon's AWS, have already added the Chinese company's R1 model for their enterprise clients to use.
"I just don't see the point really in doing that," Coros said of a potential ban. "It sounds rather anti-American to limit access to openly available capabilities like that so they can't be studied, can't be explored."
Open-source technologies have emerged as yet another front in the US-China tech decoupling. US lawmakers urged the Biden administration to limit China's access to RISC-V, an open-source chip architecture, as part of the ongoing chip export controls.
Some, however, argue that neither technical difficulties nor a lack of substance in the national security risk claims will stop US lawmakers from banning DeepSeek.
"I think at this point it's almost a secondary issue whether there's national security concern or not," said Lu. "It's become a lightning rod for China hawks. They just found another exciting event to further their courses, whether it's justifiable or not."
This article first appeared on <a href="https://asia.nikkei.com/Business/Technology/Tech-Asia/Is-DeepSeek-next-in-line-for-a-TikTok-like-U.S.-ban">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.

Is DeepSeek next in line for a TikTok-like US ban?

ByteDance

TikTok

East Asia

Artificial Intelligence

Deep Tech

Artificial intelligence

… for Singapore, Malaysia, Japan, South Korea, and more. Trending hashtags on Weibo suggest that some overseas screenings are already sold out.
It remains to be seen whether Pop Mart will launch Ne Zha 2 blind boxes in its international stores. But as Morgan Stanley noted, the company’s flywheel effect is already in motion. With its ongoing global expansion, Pop Mart is well on its way to becoming a powerhouse, partnering with major IP owners worldwide to extend the popularity of their franchises through collectibles.
<h3>A win for the adults</h3>
History is written by the victors.
Jiaozi and Pop Mart founder Wang share a similar journey—both defying industry skepticism to carve out new spaces in animation and collectible toys. As Ne Zha 2 continues its box office run, audiences have become well-acquainted with Jiaozi’s story.
A pharmacy student at Sichuan University, he pivoted to animation out of passion, teaching himself 3D modeling while still in college. After graduating, he spent nearly four years crafting his animated short See Through, which went on to win multiple international awards.
Yet, when he sought commercial opportunities, the industry turned a cold shoulder. China’s animation market was largely geared toward children, and investors doubted whether animated films for adults could be profitable.
Wang faced similar resistance. His entrepreneurial journey began in college, where he made music video DVDs capturing campus life for classmates. Later, he ventured into retail with a grid shop business—a model where small display cubes or shelves are rented to individual sellers, allowing them to showcase niche, trendy, or handmade products without needing a full storefront.
This format laid the foundation for what would become Pop Mart. When the first Pop Mart store opened in Beijing’s Zhongguancun in 2010, it stocked everything from stationery and electronics to accessories, home decor, and clothing. “We sold a bit of everything,” Wang once said. His vision was to create a design-forward retail space catering to young consumers—a trend-focused concept store, hence the name Pop Mart.
By 2015, he noticed one category outpacing all others: trendy toys. Sensing an opportunity, he made a bold decision in 2016 to pivot entirely to collectible toys.
Securing funding, however, proved to be a battle. At a talk hosted by Matrix Partners China, Wang said, “In 2016, we struggled to raise money. No one was interested.”
The skepticism echoed the doubts Jiaozi faced when pitching animated films for adults. When Wang told investors, “I want to sell toys to adults,” the response was dismissive: “You’re joking. Adults don’t buy toys. That’s like trying to sell shampoo to a bald man.”
According to 36Kr, Wang pitched his vision to nearly every investor and financial advisor he could find. At its lowest point, Pop Mart had less than RMB 1 million (USD 140,000) in its accounts—barely enough to cover payroll.
"Back then, Wang would walk in with a long presentation deck, pitching his vision of Pop Mart as the ‘Bandai or Mattel of China.’ But every time, he left empty-handed."
In hindsight, an ironic twist of fate stands out: Wang didn’t just seek investment from financial firms—he also approached industry players. One of them was Enlight Media.
Enlight ultimately passed on investing in Pop Mart, but it did place a bet on Jiaozi. In 2015, the company established Coloroom Pictures, an animation-focused division, and announced investments in 13 animation studios—one of which was Coco Cartoon, founded by Jiaozi.
At the time, Enlight’s chairman, Wang Changtian, laid out an ambitious roadmap for China’s animation industry. Still, few could have predicted that Ne Zha 2 would rewrite the history of Chinese cinema.
Much like how Pop Mart’s crossover collection has outgrown the blind box economy label, Ne Zha 2’s success challenges the conventional narrative of China’s animation rise. More than just a win for Enlight or Pop Mart, it represents a triumph for those redefining what it means to grow up.
As Wang once put it: “Who says that once you turn 18, you can’t buy toys anymore—that you have to live life the ‘adult’ way?”
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3156676482636289">article</a> was written by Li Xiaoxia for 36Kr.

Ne Zha 2 rewrites history, and Pop Mart cashes in on the craze

Entertainment

Creative

Retail

Consumer Services

Big Japanese companies reduced their carbon dioxide emissions relative to sales by nearly a third in 2024 compared with three years earlier, in a sign that they are balancing lower CO2 output and earnings growth.
The cuts were driven by a shift to renewable energy sources for powering factories and offices, but companies face a higher hurdle in lowering emissions from their own operations.
For 2024, the median emissions figure per JPY 1 million (or around USD 6,500) in sales was 0.17 tons, down 18% from 2023 and down 31% from 2021, based on data from about 400 companies compiled by KPMG AZSA.
Particular reductions were noticeable among companies in the electronics and precision machinery industries, Nikkei research shows.
Printer maker Seiko Epson completed its shift to renewable energy at its domestic plants in 2021 and at all group locations, including overseas, in 2023. Emissions per unit of sales fell by more than 80%, helped by sales growth.
Murata Manufacturing, a supplier of electronic components for companies including Apple, increased its renewable energy usage to 36.5% in the fiscal year ended March 2024, more than double the level of three years earlier. Emissions per unit of sales fell by about 30%.
Greenhouse gas emissions per unit of sales help gauge whether companies can shrink their CO2 output without hurting their business.
Japan aims to reduce greenhouse gas emissions by 46% by 2030 compared with 2013 levels. Emissions from the industrial sector account for about 30% of the country's total.
"Thanks in part to pressure from investors and government support, efforts to reduce emissions have made some progress, mainly among large companies," said Hiroki Yoda, a researcher at Japan's Daiwa Institute of Research.
Reductions were also seen in the materials, construction, and food industries. Seasonings maker Ajinomoto halved its emissions per unit of sales for the fiscal year ended March 2024, thanks in part to a switch from coal to biomass fuel at its Southeast Asian offices.
Packaging maker Toyo Seikan Group Holdings reduced emissions per unit of sales by 30% through energy conservation and the introduction of solar power generation. The company is also studying the use of hydrogen in glass manufacturing, and a spokesperson said it "sees a significant reduction in Scope 1 emissions."
The KPMG data covers both Scope 1 and Scope 2 emissions, referring respectively to emissions produced as part of companies' own business activities and those from indirect sources such as electricity purchases. Half of the companies included in the study were corporations with annual sales of JPY 100 billion (USD 6.5 billion) or more.
Companies made progress in reducing Scope 2 emissions. Median emissions per unit of sale in 2024 were down nearly 60% compared to three years ago, thanks to the increased use of renewable energy and energy-saving initiatives. Scope 1 emissions remained flat.
Scope 1 emissions are harder—and costlier—to cut.
"Companies need to step up capital investment to reduce emissions," said Daisuke Tsuchiya, a managing director at KPMG AZSA. "Investment in actions on global warming will worsen capital efficiency in the short term, so they will be forced to make difficult decisions."
This article first appeared on <a href="https://asia.nikkei.com/Business/Business-trends/Japan-companies-cut-CO2-emissions-while-expanding-businesses-study-shows">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.

Japan companies cut CO2 emissions while expanding businesses, study shows

Energy

Sustainability

… launch an unsupervised, fully autonomous driving service in Austin by June 2025. The company is also in discussions with other automakers about licensing FSD technology.
Third, Musk sees Optimus as Tesla’s next big breakthrough.
The company aims to ramp up production to 1,000 units per month in 2025, with a long-term target of scaling up to 1 million robots per year. External deliveries of Optimus are expected to begin in late 2025, marking Tesla’s official entry into the commercial robotics market.
Musk has described 2025 as potentially “the most important year in Tesla’s history.” With so much in the pipeline, he might be right.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3156671602285062">article</a> was written by Han Yongchang for 36Kr.

Tesla eyes 2025 comeback with three-pronged growth strategy

Tesla

<a href="/company/grab">Grab</a> has reported its financial results for the fourth quarter of 2024, with revenue rising 17% year-on-year to USD 764 million, driven by strong demand for its ride-hailing and delivery services. The company posted a Q4 profit of USD 11 million. Releasing its results on February 20, Grab credited the growth to heightened engagement across both affordable and premium tiers. Anthony Tan, co-founder and group CEO, said the performance reflects product and technology initiatives that boosted user activity and transaction frequency​.
On-demand gross merchandise value (GMV) reached USD 5 billion in Q4 2024, a 20% jump from the same period last year​. Features such as “Saver” and “Priority” rides or deliveries contributed to a growing share of transactions, underscoring efforts to tailor services for varied customer needs. Meanwhile, Grab’s mobility business posted a 23% rise in quarterly GMV, supported by strong driver supply and offerings like advance bookings and airport rides​. In Southeast Asia, where congestion and convenience are daily considerations, these features have reportedly helped reduce wait times and bring more drivers onto the road, strengthening Grab’s foothold.
Revenue from financial services surged 38% as Grab expanded lending through its GrabFin unit and digital banks​. Total loans disbursed reached USD 2.2 billion in 2024, increasing the loan portfolio to USD 536 million by year-end​. Tan highlighted the company’s prudent lending approach, noting that deposits at GXS Bank in Singapore and GXBank in Malaysia climbed to USD 1.2 billion, signaling growing consumer adoption.
Grab closed 2024 with its first positive full-year adjusted EBITDA of USD 313 million and positive adjusted free cash flow of USD 136 million, signaling its shift toward sustained profitability​.
The company also narrowed its annual loss to USD 158 million through tighter cost management, a 67% improvement from USD 485 million in 2023​. It repurchased 67 million Class A ordinary shares by the end of the year, reaffirming its commitment to capital returns while continuing to invest in new features such as group orders, dine-out deals, and payment solutions aimed at boosting user engagement​.
Gross and net cash liquidity remained stable at USD 6.1 billion and USD 5.8 billion, respectively, at the end of the fourth quarter.
For 2025, Grab projects revenue between USD 3.33–3.40 billion and group adjusted EBITDA in the range of USD 440–470 million, reflecting confidence in growth across delivery volumes and lending​.
The company is also ramping up investment in generative artificial intelligence and autonomous vehicles.
In remarks published alongside the latest results, Tan said generative AI can “improve the health of [Grab’s] marketplace,” citing tools such as “GrabRideGuide,” which directs drivers to high-demand locations, and “Merchant Menu Assistant,” which aims to boost restaurant sales.
While acknowledging that self-driving vehicles remain in “very early days” in the region, he noted that Grab is actively engaging with regulators and potential partners to explore the technology’s future.

Grab rides to record quarterly revenue in Q4 2024, sets sights on AI and autonomous vehicles

Grab

On-demand Services

Ride-hailing

Food Delivery

Grocery Delivery

Singapore

Malaysia

Myanmar

Thailand

Vietnam

Cambodia

Indonesia

Philippines

… I wonder if age-old traditions, both Asian and Western, of "hospitality," "service" and "customer engagement" are being lost. What will they teach in the hotel and hospitality schools of the future?
To me, "unmanned" or "unpersonned" equates to "dehumanized." But not to my younger fellow guests. What does this tell us? For those concerned about the impact of artificial intelligence on young people, perhaps it reinforces social alienation and isolation syndromes. On the other hand, even older people might occasionally crave a place where you don't have to speak or deal with other human beings.
This article first appeared on <a tabindex="0" href="https://asia.nikkei.com/Editor-s-Picks/Tea-Leaves/Is-Japan-s-unmanned-hospitality-dehumanizing-or-a-selling-point" rel="noopener noreferrer" data-token-index="1">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing <a tabindex="0" href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/" rel="noopener noreferrer" data-token-index="3">partnership with Nikkei</a>.

Is Japan's "unmanned" hospitality dehumanizing, or a selling point?

Robotics

Opinion

<a href="/company/saic-motor">SAIC Motor</a> and <a href="/company/huawei">Huawei</a> have finalized their collaboration model, adopting Huawei’s “Smart Selection” approach, multiple sources told 36Kr. Based on SAIC’s recently registered trademarks, the new brand will be called Shangjie in Chinese. It will join Maextro, Stelato, Aito, and Luxeed under the Harmony Intelligent Mobility Alliance (HIMA).
Unlike HIMA’s existing four brands, which cater to the premium segment with price points ranging from RMB 230,000 (USD 32,200) to RMB 1 million (USD 140,000), Shangjie will target younger consumers. Sources indicate that Shangjie models will start at RMB 170,000–180,000 (USD 23,800–25,200), with higher-end versions priced around RMB 250,000 (USD 35,000).
While aimed at a younger demographic, Shangjie will not compete in the budget segment. Instead, it will maintain a mid-to-high price range while integrating Huawei’s smart technologies. Sources reveal that the first Shangjie model will be based on an existing vehicle from Rising Auto, SAIC’s electric vehicle sub-brand. While the exterior design will remain largely unchanged, the key upgrades will come from Huawei’s electronic architecture and intelligent technologies.
Huawei will apply its product expertise and marketing strengths to refine the model, which is expected to launch in the fourth quarter of 2025. The collaboration is progressing rapidly—Huawei’s Smart Selection team has already embedded personnel within SAIC’s operations, while SAIC has assigned a dedicated team of over 100 employees to the project.
As competition intensifies, SAIC’s new president, Jia Jianxu, has emphasized the urgency of transformation. During an internal meeting in 2024, he underscored the company’s need to “learn to survive on its knees before it can stand again.” His remarks reflect the mounting sales pressure SAIC is facing.
In 2024, BYD surpassed SAIC as China’s bestselling automaker, delivering 4.27 million vehicles. In contrast, SAIC reported 4.013 million wholesale sales, marking a 20.07% year-on-year (YoY) decline. SAIC’s self-owned brands accounted for 2.408 million units, or 60% of total sales, with notable performances from IM Motors, Roewe, Rising Auto, MG, Maxus, Wuling, and Baojun. SAIC-GM-Wuling led with 1.34 million units sold, followed by MG with over 700,000 units. IM Motors, SAIC’s high-end EV brand, recorded a 70% YoY sales increase, reaching 65,500 units.
Among SAIC’s joint ventures (JVs), SAIC Volkswagen sold an estimated 1.2 million units, including 150,000 new energy vehicles. SAIC-GM, however, saw its sales plummet nearly 50% YoY to 673,000 units, while SAIC and Audi’s JV delivered 43,000 units. SAIC’s traditional fuel-based car JVs are declining, while its self-owned brands depend heavily on cost-effective models like SAIC-GM-Wuling and export-driven MG. Rising Auto, its premium EV brand, struggled and was ultimately merged with Roewe at the end of 2024. Despite IM Motors’ 70% sales growth, its total volume remains under 70,000 units.
With China’s automotive sector entering a survival-of-the-fittest phase, SAIC finds itself caught between declining fuel-powered vehicle sales and underdeveloped EV brands. Breaking this deadlock is now a priority.
Huawei’s influence in the automotive sector continues to grow. Its Aito brand sold 440,000 vehicles in 2024, thanks largely to its intelligent features, which have resonated with consumers. Other automakers are also capitalizing on the smart vehicle trend—Xpeng’s <a href="https://kr-asia.com/xpeng-ramps-up-production-as-mona-m03-orders-surpass-expectations">Mona M03</a> and <a href="https://kr-asia.com/after-mona-m03s-breakout-xpeng-eyes-another-ev-win-with-the-p7">P7+</a> emerged as 2024’s best-selling models, driven by competitive pricing and advanced smart driving features.
SAIC has been investing in smart driving technology for years. Since 2021, it has heavily backed Momenta, a leading autonomous driving company, becoming its largest institutional investor. Momenta has pioneered several innovations, including urban car pilot functions, map-free driving, and AI-driven end-to-end navigation. However, these technologies have primarily been implemented in IM Motors models, which continue to face weak sales.
Despite its supply chain scale and smart driving capabilities, SAIC has yet to produce a breakout product. This is where Huawei’s track record could make a difference. In 2024, the Aito M7 sold 197,000 units, while the Aito M9, priced at RMB 500,000 (USD 70,000), reached 158,000 units. Huawei’s market expertise has helped Aito secure two key segments: appealing to young families with spacious designs and smart tech, and attracting premium buyers with high-quality builds and novel features.
Huawei’s success also stems from its agile product iteration strategy. After launching the Stelato S9 and Aito M9, the company quickly introduced “Ultra” versions featuring laser radar and Huawei's ADS 3.0 smart driving system. This rapid iteration cycle is something traditional automakers have struggled to match.
To enhance efficiency, SAIC launched a major restructuring in early 2025, following a leadership reshuffle in July 2024. The company has merged multiple divisions—including Roewe, Rising Auto, Z-One Technology, SAIC Motor International, its R&amp;D institute, and its overseas mobility unit—into a unified passenger vehicle division. This new entity is overseen by an executive committee responsible for key strategic decisions.
A significant change in management structure is also underway. Executives will reportedly have to compete for their positions, with promotions based on performance. This shift aims to align SAIC’s execution speed with Huawei’s rapid development cycle.
Meanwhile, competition in China’s automotive market is escalating. On February 10, BYD announced that all its models would come equipped with high-level smart driving features at no extra cost. The Qin Plus DM-i smart version will start at RMB 79,800 (USD 11,200), while the Seagull smart edition will be priced at RMB 69,800 (USD 9,800).
With its massive user base, BYD is reshaping consumer expectations. Affordability is no longer the key differentiator—smart technology is. With Shangjie’s debut still a year away, SAIC must adapt. To compete in the RMB 150,000–250,000 (USD 21,000–35,000) range, it will need a compelling mix of technology, product appeal, and brand strength to stand against BYD and other emerging challengers.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This <a href="https://36kr.com/p/3160384073964038">article</a> was written by Xu Caiyu for 36Kr.

SAIC and Huawei team up on new EV brand as smart car race heats up

Huawei

SAIC Motor

On February 11, India's Prime Minister Narendra Modi called for a collective global effort to create governance guidelines and establish standards for artificial intelligence at a summit held in Paris.
"We are at the dawn of the AI age that will change the course of humanity," said Modi in a closing speech of the two-day Artificial Intelligence Action Summit that was attended by world leaders and industry experts. Modi was <a title="" href="https://asia.nikkei.com/Politics/International-relations/India-s-Modi-heads-to-Paris-as-co-chair-of-AI-summit" target="_blank" rel="noopener">co-chair with French President Emmanuel Macron</a>.
"There is a need for collective global efforts to establish governance and standards" on AI, said Modi. "Governance is not just about managing risks and rivalries. It is also about promoting innovations," he added, echoing positions held by France and the European Union.
The summit culminated in the signing of a non-binding declaration by more than 100 countries for "inclusive and sustainable" AI, a statement that was snubbed by the UK and the US.
US vice president JD Vance, who attended the summit, took a combative stance and criticized what he considered to be EU overregulation of the sector and warned against working with China in a speech. The China-US rivalry is heating up after Chinese startup <a title="" href="DeepSeek%20crashes%20Nvidia%20stock%20with%20prospect%20of%20cheaper%20AI" target="_blank" rel="noopener">DeepSeek stunned the world</a> by announcing it had created technology akin to ChatGPT developed by Silicon Valley company OpenAI at a fraction of the cost.
Against this backdrop, the EU has said it plans to cut red tape to facilitate the industry's growth. Macron has announced investments in AI worth EUR 109 billion (USD 113 billion) in his country alone. On February 11, European Commission president Ursula von der Leyen announced that investments worth EUR 200 billion (USD 207.3 billion) will be poured into the industry in Europe, of which a quarter would come from the bloc.
With AI poised for explosive growth in China and the West, Modi pointed to the need for less developed countries to gain access.
"We must think deeply and discuss openly about innovation and governance," he said, adding that "governance is also about ensuring access to all, especially in the Global South."
Analysts said his presence will help those countries. India is "putting on the table the interests of many countries who have not been included in this dialogue," said Patrizia Cogo, a researcher at the Barcelona Centre for International Affairs (CIDOB) who specializes in India-Europe relations.
Indeed, UN secretary-general Antonio Guterres said that AI's "power is in the hands of a handful of people" and that developing nations could be left behind, which "threatens to aggravate geopolitical divisions." He urged countries to bridge the gap between rich and poor.
Modi and Macron met with around 30 CEOs of French and Indian companies on February 11, before heading to Marseille, where they inaugurated the Indian consulate and visited the port and an international nuclear energy research site where about 200 Indian engineers are working.
France wants to position Marseille as a potential European gateway for the India-Middle East-Europe Economic Corridor (IMEC). The project is widely seen as India's response to China's Belt and Road Initiative (BRI), in view of growing competition between Beijing and New Delhi.
Marseille is competing with other major ports like Trieste in Italy and Piraeus in Greece, which is owned by China's state shipping company COSCO, to be IMEC's end point in the West.
Invest India CEO Nivruti Rai will join the Indian delegation to Marseille. She told Nikkei Asia that that diplomatic relations between India and local governments were central to decisions regarding the IMEC trade route.
"Whenever the relations between India and a country are strong, it's just easy to do business," she said, pointing to France as an example.
Both Europe and India "share concerns about dependences on China" and "this corridor also is part of this view," said CIDOB's Cogo. "The EU, and in this particular case, France, are reliable partners for India in trying to diminish the risks that India is navigating."
This move toward Western partners could be "consequential in increasing India's margin of maneuver vis-a-vis both Russia and China," she said. Russia is historically close to India and is its first supplier of defense equipment, but New Delhi is trying to diversify from that source.
France is India's second largest arms supplier, and a significant provider of strategic goods in transport, energy, and aerospace, and aeronautics. The two countries are also discussing a deal on French Rafale jet fighters. Paris <a title="" href="https://asia.nikkei.com/Politics/International-relations/France-in-talks-to-buy-Indian-rocket-launcher-system-official-says" target="_blank" rel="noopener">is in advanced talks with India </a>to buy a multi-barrel rocket launcher system, a top Indian official said on February 10.
On the sidelines of the summit, Macron also held talks with Zhang Guoqing, China's vice premier, on February 10. They expressed the "desire of both France and China to play a greater role in the global governance of AI in order to develop its potential while controlling the risks," the French presidency said in a statement.
President Macron also "reiterated his determination to maintain an open and demanding dialogue with the Chinese authorities, particularly with regard to trade issues between the European Union and China."
This article first appeared on <a href="https://asia.nikkei.com/Business/Technology/Artificial-intelligence/Modi-calls-for-AI-governance-and-standards-at-Paris-AI-summit">Nikkei Asia</a>. It has been republished here as part of 36Kr’s ongoing partnership with <a href="https://www.kr-asia.com/nikkei-teams-up-with-36kr-in-asia-tech-news-coverage/">Nikkei</a>.

Modi calls for AI governance and standards at Paris AI summit

India