As the festive spirit of the New Year lingers in the air, a new wave of development is quietly yet fervently reshaping the technological landscape in ChinaThe dawn of a revolutionary force known as DeepSeek has captured the attention of the world, focusing its spotlight on artificial intelligence innovation emanating from this dynamic nationHere, the battle does not rage with bombs and bullets, but instead unfolds amidst cyber warfare, regulatory crackdowns, and vigilant suppression against perceived threats to sovereignty.
In this high-stakes environment, indigenous AI technologies have rallied support around DeepSeekMajor telecommunications operators, chip manufacturers, smartphone companies, and cloud service providers have stepped up to bolster efforts, creating a powerful synergy akin to a well-coordinated cavalry charge, each contributing their unique strengths—from computational power to expansive data repositories.
Among these valiant combatants sits a significant figure that many may find familiar: Huawei, the technology titan from ShenzhenOn the fourth day of the lunar new year, Huawei’s Ascend AI chips fired the first shot in supporting the DeepSeek model seriesOn that very day, Huawei Cloud also announced the launch of DeepSeek R1/V3 inference service, emerging as one of the first cloud service providers in China to adopt the DeepSeek-R1 model.
However, the rise of DeepSeek did not occur in a vacuumThe AI and robotics sectors have entered a deep and complex rivalry, with Huawei often standing at the forefront, absorbing a significant portion of the backlash from American tech sanctionsOver the years, Shenzhen, often branded as China’s Silicon Valley, has served as the backbone for national innovations across tech and AI sectors.
This metropolis, renowned for its rapid dynamism and innovative atmosphere, is brewing something monumental, attracting global attention with its initiatives destined to mold the future of technology
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Recently, news began to surface indicating that Huawei unveiled yet another AI patent, bringing the number of patents disclosed in the field this year to an impressive 26—reflecting an extraordinary pace of innovation, averaging a new AI patent every two days!
This rapid development cycle is rooted in cutting-edge technologies such as the Harmony OS, the Pangu large model, and Kirin chips, each representing a pinnacle of achievement in the Chinese AI landscapeYet, Huawei is merely one player in the bustling hive of innovation that is Shenzhen.
By 2024, an astonishing 2,200 AI enterprises are anticipated to call Shenzhen homeThe city has been proactive in cultivating an all-encompassing industrial chain that spans across chips, models, hardware, and applicationsThe city's ecosystem is characterized by a 'wild goose formation,' consisting of leading firms like Huawei and Tencent at the front, supported by high-growth companies such as Yuanxiang Technology and Tuzhan Intelligent, alongside competitive startups eager to contribute to this burgeoning reality.
For example, Yuanrong Qixing, founded in Shenzhen in 2019, has emerged as a significant contender in the autonomous driving sectorOver the past year, they secured production partnerships with four major automotive manufacturers and over ten production projects, claiming nearly 10% of the urban advanced intelligent driving supply market, positioning themselves amongst the industry elite.
Meanwhile, BYD, hailed as the world's leading electric vehicle manufacturer, recently announced their “God's Eye” advanced driving system, set to be integrated into 21 vehicle modelsBYD's new architecture will also be entirely integrated with DeepSeek, showcasing how Shenzhen is pioneering advancements in the automotive sector.
The city's designation as home to the highest density of AI companies has won it acclaim; it is now recognized as the “city with the highest density of machines and intelligence.” In terms of the sheer number of AI-related enterprises, distribution across foundational, technical, and functional layers, Shenzhen leads nationwide.
When it comes to humanoid robotics, Shenzhen's dominance is undeniable
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The city fosters numerous prominent players in this sector, commonly referred to as the “Thirteen Guardians.” This includes well-regarded names like Stardust Intelligence and Ubot, as they forge ahead with technological advancements and innovations.
Before DeepSeek captured headlines, the wave of “made in Shenzhen” humanoid robots made global wavesAn astonishing humanoid robot, standing at 170 cm and executing natural strides across Shenzhen's bustling streets, rapidly went viral, exploding on social media platformsObservers marveled at its lifelike movement, with one commentator noting, “Its gait is astonishingly natural!”
Even NVIDIA's senior AI research scientist, Jim Fan, could hardly believe what he was witnessing, asking publicly, “Is this real? Did it not come from Sora?” This groundbreaking humanoid robot comes from Zhongqing Robotics in Shenzhen, showcasing an array of human-like movements, from squats to push-ups—demonstrating that it can perform at par with international athletic talents.
Even more impressive, this humanoid creation is produced at a cost-efficient price under 100,000 yuan, presenting a competitive advantage in the global marketAnother noteworthy entity, Ubtech Robotics, known as the “first publicly traded humanoid robotics company,” has manufactured the Walker S1, now installed across numerous vehicle manufacturing trainees, capturing a significant portion of the industry's training market.
Shenzhen’s expertise in AI and robotics has propelled the heights of “Made in China” innovationThe ongoing global power dynamics increasingly threaten supply chains, prompting the city to assert a more pivotal role in building independent industrial frameworks while breaking free from foreign technical restraints.
As Ren Zhengfei has remarked, we are entering the Fourth Industrial Revolution, with the foundation resting on substantial computing power
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The rise of DeepSeek has propelled data and computational power back into the spotlight, underscoring that true AI progress hinges upon enhanced computational capability.
In doing so, Shenzhen has prepared robustly for this technological renaissanceBy 2025, the city plans to expand its data center-scale to 500,000 standard racks, significantly enhancing its computing capacityThe Pangu Laboratory, located in Shenzhen, has taken on the monumental task of developing China’s computing power network, successfully establishing the first domestically controlled E-level (equivalent to hundreds of quintillions of calculations per second) intelligent computing platform, christened the “Pengcheng Cloud Brain.”
This platform, constructed on self-sufficient domestic AI chips, has already supported nearly a thousand local AI models’ training and applicationsLast year, the Shenzhen Municipal Bureau of Industry and Information Technology coordinated with the city’s SME Service Bureau to offer free AI computing support to eligible small businesses, extending their vision for innovation.
Looking ahead, one might indeed wonder if the next “superstar” in the AI realm will emerge from Shenzhen? In this vibrant environment, tech giants are competing to establish robust AI infrastructures, with Huawei taking the lead as a “foundational architect.”
Huawei’s MindSpore framework has already incubated over 50 mainstream domestic and international models since its open-source launch in 2020. Current predictions suggest that Huawei's share in the expanding market for AI frameworks could reach 30% by 2024.
As discussions revolve around how many NVIDIA chips DeepSeek has been able to acquire, Huawei has unveiled its own high-performance Hongmeng 910 series chips dedicated to AI training and inference, presenting a plausible alternative to NVIDIA's supremacy.
When skeptics declare that Shenzhen’s AI era may be slowing down, the city, undeterred, resolutely strides forward, embracing its crucial role in national development
Why is Shenzhen entrusted with this crucial mission?
To view the global picture, the Guangdong-Hong Kong-Macao Greater Bay Area, spearheaded by Shenzhen, exhibits unparalleled industrial supportFor instance, in Nanshan district, more than 20 upstream and downstream enterprises and institutions focused on humanoid robots have gathered, fostering a leading-edge atmosphere in software algorithms and core components.
Even Jensen Huang, CEO of NVIDIA, expressed admiration for the Greater Bay Area’s favorable conditions, noting that it is the only region worldwide that fuses mechatronic technology and AI technology, making it ideal for developing robotics.
Behind all these advancements lies Shenzhen's legacy as the “manufacturing capital.” With its immense technological innovation density, it is like a rocket fueling the dreams of a cyberpunk future into reality.
As of 2024, the number of national high-tech enterprises in Shenzhen has surpassed 25,000, averaging 12 per square kilometer, marking the highest concentration of technology companies in any city across China.
In contrast to other cities, Shenzhen is characterized by the active presence of private enterprises that are the absolute mainstay of innovationReports show that R&D expenditure from Shenzhen enterprises has reached an astounding 208.58 billion yuan, accounting for 93.3% of the city's total investment in research and development.
This powerful argument was captured by observers, who noted that Shenzhen’s innovation ecosystem reflects a six-fold “90% phenomenon”: more than 90% of innovative companies are local, 90% of R&D institutions are located in enterprises, and over 90% of funding sources come from businesses.
One example is BYD, which has invested over 160 billion yuan into R&D and employs almost 110,000 technical research staff, making it the company with the most R&D personnel in the global automotive sector.
Such a strong foundation enables Shenzhen to overcome obstacles and compete against the world's leading tech giants with more efficacy
Prominent economist Lin Yifu emphasized the efficacy of the combination of effective markets and proactive governance as the foundation for what is termed the “Shenzhen miracle”—an essential foundation for Shenzhen's emergence as a leader in the AI age.
To simplify, this dynamic encapsulates a clear mantra: When businesses face difficulties, the government stands by them; when there are no issues, the government refrains from intervening; when there is success, the government holds back its reach.
Presently, Shenzhen’s “Four Giants of Technology”—Huawei, Tencent, BYD, and DJI—are all private enterprises with classic success stories, evolving from mere seeds into towering trees.
For instance, DJI’s founder, Frank Wang, expressed how government financial support policies in 2008 enabled them to relocate into more spacious offices, thus facilitating their growth.
In recent years, Shenzhen has persistently paved the way for the development of AI industries through proactive policy-making effortsBack in 2022, it introduced the country's first AI Industry Promotion Regulation, and in 2024, AI earned its place as an independent cluster within Shenzhen's primary “20+8” industrial group, establishing dedicated given resources and policies.
Emerging technologies such as AI, particularly among startups and SMEs, often demand sustained high levels of investmentShenzhen’s state-owned enterprises and capital have contributed to a multi-layered “patient capital” approach that provides support throughout the enterprises' lifecycle.
By 2024, Shenzhen Investment Holding Co. and Shenzhen Capital Group will have collectively established a 10 billion yuan angel fund along with a 2 billion yuan seed fund that successfully incubated over 160 potential unicorn enterprises.
As a representative stated, the seed stage is often where market failures are most pronounced
It is within these underserved sectors and untested waters that government intervention can yield success—investing in promising projects that no one else dares to.
It is evident that startups and SMEs embody the essence of innovation and exploration, housing unprecedented opportunitiesA parallel can be drawn to the era post-1950s when the U.S. passed the Small Business Investment Act, which facilitated considerable venture capital investment in electronic and computer-oriented startups, culminating in the birth of Silicon Valley.
Today, Shenzhen may very well be nurturing China’s future aspirations toward technological supremacyOver the past year, Shenzhen's “AI powerhouse” has delivered remarkable outcomes: by the end of 2024, the AI industry scale is expected to reach 360 billion yuan, showcasing a year-on-year growth of approximately 35%—with industrial robot production rising by 31.8%, further contributing to a boosted regional economic vitality of 5.8%.
As the new year commenced in 2025, Shenzhen reiterated its commitment to deepening the contributions of AI across diverse industries and enhancing core innovation capabilities, positioning itself for rapid advancement.
Most impressively, amidst this landscape of leading prowess, Shenzhen vigorously works to address its limitations, launching numerous new educational institutions over the past decade, with the total number of universities reaching 17, eight of which are now part of the high-level construction initiative in Guangdong Province.
In January of this year, Shenzhen has additionally pledged to bolster support for foundational research and technological advancements, targeting contributions of up to 300 million yuan annually toward fundamental AI principles, core algorithms, and high-priority sectors.
As they perpetually forge ahead, Shenzhen embodies the quintessential tenet that those who excel often strive even harder
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