China’s leading internet search provider Baidu Inc. may get a fresh tailwind from the sooner-than-expected launch of its ChatGPT-like Ernie Bot, reigniting a rally that boosted its market valuation by $23 billion from last year’s trough.
Baidu made its artificial intelligence service available to the public last Thursday, capping a two-week surge in its US-listed stock after the company’s surprisingly strong quarterly results. While China approved several firms’ services, Ernie Bot quickly attracted 1 million users and surged to the top of the nation’s app rankings.
“For Baidu, this is undoubtedly a positive surprise, with market participants and businesses all expecting approvals to come at a later date,” Boris Van, an analyst at Sanford C. Bernstein & Co., wrote in a note. “Baidu’s head start should give them a bigger advantage,” they added.
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