Baidu, China’s largest search engine, has launched its most significant upgrade in a decade by integrating advanced artificial intelligence into its core search platform. The move, seen as both defensive and strategic, aims to stay ahead of competitors like DeepSeek and counter growing pressure from short video apps such as Douyin and Kuaishou. New features include support for over a thousand characters in queries, voice and image-based prompts, and embedded AI chatbot capabilities for generating text, images, and videos. “This is more aligned with how people use ChatGPT and DeepSeek in terms of how they look for answers,” said Kai Wang, Strategist at Morningstar. Baidu CEO Robin Li has positioned the company’s AI-powered Ernie Bot at the center of this transformation.
Analysts view the overhaul as essential amid an increasingly crowded AI landscape. “Baidu is not waiting around to watch the paint dry, full steam ahead on AI,” said Dan Ives of Wedbush Securities, noting that the changes show Baidu’s intent to challenge rivals like Tencent and Alibaba. While Baidu was among China’s earliest adopters of AI, its stock performance has lagged behind its peers this year, rising just 2.5% compared to Alibaba’s 30.5% and Tencent’s 20%. As competition intensifies, Baidu’s latest moves signal a renewed urgency to solidify its position in China’s AI race and close the gap with faster-growing rivals.
