China is actively developing artificial intelligence but is not prioritizing artificial general intelligence, or AGI, in the same manner as the U.S. [1, 2, 3].

This divergence in strategy suggests that while the U.S. focuses on creating a human-level general intelligence, Beijing is concentrating on the practical application of AI to industrial and physical systems. This shift in focus could alter the global balance of technological power by prioritizing immediate utility over theoretical breakthroughs.

In a discussion for the Brookings Institution’s “The Beijing Brief” series, participants including Ryan Hass, Kyle Chan, and R. David Edelman analyzed the differing approaches of the two superpowers [1]. According to the analysis, China is not yet "AGI-pilled," preferring to invest in embodied AI and open-source tools [3].

Chris Miller, author of "Chip War," said China has been underspending on AI for four years [4]. This suggests that Beijing may not believe the race toward AGI is as urgent as U.S. policymakers and tech leaders do. A New York Times opinion video said that China does not worry about AI in the same way the U.S. does [5].

However, this lack of urgency may not be absolute. While some reports indicate a focus on applied AI, the Los Angeles Times reported that fears of an AI breakthrough have forced the U.S. and China to engage in dialogue [6]. This suggests that despite differing priorities, both nations remain cognizant of the risks associated with high-level AI advances.

Beijing's current strategy emphasizes broader AI applications and the integration of AI into robotics, known as embodied AI, rather than the pursuit of a single, all-knowing system [3, 4]. This approach allows China to leverage its manufacturing strengths and massive datasets to implement AI in real-world environments.

“"China has been underspending on AI for four years"”

The strategic gap between the U.S. and China indicates a move from a symmetric race to a fragmented one. While the U.S. treats AGI as a critical security and economic milestone, China's focus on embodied AI suggests a preference for augmenting physical infrastructure and industrial automation. This may result in a scenario where the U.S. leads in cognitive software while China leads in the physical integration of AI into the global supply chain.