Baidu, the Chinese tech giant, announced the launch of two new artificial intelligence models on Sunday, including one designed for advanced reasoning.
In response to increasing competition in the AI industry, Baidu has also made its AI chatbot services free of charge.
Chinese tech firms have been racing to develop more sophisticated AI platforms, particularly after start-up DeepSeek disrupted the sector in January with its cost-effective, open-source model.
In a WeChat post, Baidu revealed its latest X1 reasoning model, which the company claims offers performance comparable to DeepSeek’s model but at a lower cost. Alongside X1, Baidu also introduced a new foundation model, ERNIE 4.5.
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Both models are now accessible through Baidu’s AI chatbot, Ernie Bot, and are available for free, ahead of the initially planned launch.
Previously, users had to pay a subscription to access Baidu’s latest AI models.
Despite being one of the first Chinese companies to launch a generative AI platform in 2023, Baidu has struggled to gain widespread traction, facing tough competition from firms like ByteDance (the parent company of TikTok) and Moonshot AI, which have attracted larger user bases.
Baidu’s latest AI models feature multimodal capabilities, enabling them to process and integrate various data formats, including text, images, video, and audio, while also converting content between these formats.
“ERNIE X1 delivers performance on par with DeepSeek R1 at only half the price,” Baidu stated, as reported by Reuters.
The company explained that the X1 model boasts enhanced understanding, planning, reflection, and evolution capabilities, making it the first deep-thinking AI model capable of autonomously using tools.
Additionally, Baidu highlighted that ERNIE 4.5 exhibits strong multimodal comprehension, with improved language abilities in understanding, logic, memory, and content generation. The company also claimed that the model possesses “high emotional intelligence,” allowing it to interpret internet memes and satirical cartoons more effectively.
Facing intense competition in the AI landscape—particularly as DeepSeek continues to challenge major players domestically and internationally—Baidu has been quick to adapt.
DeepSeek’s model is known for rivaling ChatGPT in performance while maintaining significantly lower costs.
To keep pace, Baidu has integrated DeepSeek’s R1 reasoning model into its search engine. Meanwhile, Tencent, the parent company of WeChat, released its own AI model in February, which it claims answers queries faster than DeepSeek while incorporating DeepSeek’s technology into its messaging platform.
That same month, Alibaba, in partnership with Apple to develop AI for U.S. devices in China, announced plans to invest 380 billion yuan ($52 billion) in AI development over the next three years.
This month, Alibaba also introduced a new version of its AI assistant app, powered by the open-source Qwen reasoning model.
Baidu has confirmed plans to follow DeepSeek’s approach by making its Ernie AI models open-source, beginning June 30.
