AIGC industry development status in China

Market size and growth rate

In recent years, the domestic AIGC industry, driven by the wave of science and technology, has shown a significant development trend. The development of this industry is mainly due to the continuous progress of artificial intelligence technology and the continuous expansion of applications, which makes the AIGC market scale continue to expand and show a rapid growth trend.

In terms of market size, the AIGC industry has maintained a high growth rate in recent years. With the increasing maturity of artificial intelligence technology, its application in content creation, data processing, intelligent recommendation and other aspects is more and more extensive, providing a rich application scenario and market space for the AIGC industry. With the continuous growth of users’ demand for personalized and diversified content, AIGC, as an emerging content production mode, has gradually been favored and recognized by the majority of users.

In terms of growth rate, the AIGC industry has shown rapid development momentum. This is mainly due to the dual drive of technological progress and market demand. In terms of technological progress, the continuous innovation and breakthrough of artificial intelligence technology has provided strong technical support and impetus for the development of the AIGC industry. In terms of market demand, as users’ demand for personalized, high-quality content continues to grow, AIGC, as an efficient and low-cost content production method, has gradually met this demand in the market.

The latest progress of China’s AIGC industry technology giants in the field of large models is mainly reflected in the following aspects:

1. ‌ Zhipu AI releases GLM-4 large model ‌ : On January 16, 2024, Zhipu AI released a new generation of base large model GLM-4 at the Technology Open Day. The overall performance of GLM-4 is significantly improved over the previous generation, its capabilities are close to GPT-4, and it has enhanced agent capabilities. In addition, GLM-4 introduced the GLMs app store, optimized the development mode of large models, and the commercial landing is expected to accelerate.
2. ‌ the rapid development of domestic large model ‌ : since the release of ChatGPT, the field of domestic large model has experienced three stages: preparation period, growth period and rapid development period. At present, the domestic large model is in a period of rapid development, all walks of life have launched open source and closed source large models, forming a fierce competitive situation.
3. ‌ Multimodal large model interest ‌ : The industry is increasingly paying attention to the development of multimodal large models because of the importance of multimodal large models for the realization of AGI (Artificial Intelligence for General Purpose). Multimodal large models can analyze diverse data to enhance the overall capabilities of AI.
4. ‌ Policy and technology resonance ‌ : Domestic manufacturers such as iFlytek and Zhipai AI have released domestic large models such as Spark large model and ChatGLM-6B respectively, and have made positive progress in many industries. Spark large model has landed a number of C-terminal products and scenes, and plans to achieve a comprehensive benchmarking ChatGPT in 2023; ChatGLM-6B has received 2 million downloads worldwide, and hundreds of vertical domain models and applications have been developed based on the model.
5. Large model filing and commercialization acceleration ‌ : Up to now, almost all the large model products of domestic core enterprises have been filed, which helps the large model products of various manufacturers to form a data flywheel effect and promote the development of domestic large models. At the same time, the size of China’s large model market has achieved a rapid increase in 2023, which is expected to reach 13.23 billion yuan, with a growth rate of 110%.
6. International competition and catch-up ‌ : Domestic leading enterprises such as iFlytek and Baidu are also continuing to catch up with the international mainstream model. For example, Baidu launched the Wenxinyi big model, with cross-modal, cross-language deep semantic understanding and generation ability; Jd.com launched an industrial version of ChatJD; The Bytedance AI Lab is also working on ChatGPT and AIGC.

With the continuous progress of technology and the continuous expansion of the market, the AIGC industry will usher in a broader development prospect. It is expected that the AIGC market size will continue to maintain a high growth rate in the next few years, becoming an important growth point in the field of artificial intelligence.

According to the 50th Statistical Report on the Development of the Internet in China, as of June 2022, China’s Internet penetration rate has reached 74.4%. In the macro environment where the scale of Internet users continues to increase, the network access environment is increasingly diversified, and the digital process of enterprises is accelerating, AIGC technology, as a new content production mode, is expected to penetrate human production and life, bring subversive changes to thousands of industries, and open up a new era of human production interaction. Iresearch predicts that the scale of China’s AIGC industry will be about 14.3 billion yuan in 2023, and then enter the cultivation period of large model ecology, and continue to build and improve new infrastructure such as bottom computing power infrastructure and large model store platform, so as to breed mature technology and product forms of external output. In 2028, China’s AIGC industry scale is expected to reach 720.2 billion yuan, China’s AIGC industry ecology is becoming increasingly stable, complete the technical value of key areas and key scenarios, and gradually establish a perfect model that is the service industry ecology, by 2030, China’s AIGC industry scale is expected to exceed one trillion yuan, reaching 1,144.1 billion yuan.