This Chinese Stock is Unveiling Its Own Version of ChatGPT

Interest in artificial intelligence (AI) has been surging since the November release of ChatGPT, and Chinese tech giant Baidu (NASDAQ:BIDU) could be a key beneficiary of this. Reports note that Baidu is readying for the launch of its own answer to ChatGPT in March. I’m bullish on Baidu stock as a way to invest in a potential AI leader at an undemanding valuation.

Interest in Artificial Intelligence Surges

ChatGPT has gained incredible traction in a short time since its release less than three months ago. People are asking it to answer questions and even asking it to do their homework and write essays for them. ChatGPT even famously passed the bar exam.

While many investors would line up for the chance to invest in this technology, ChatGPT’s parent company OpenAI is private. OpenAI’s investors include Microsoft (NASDAQ:MSFT) and a star-studded list of top private equity investors and Silicon Valley luminaries. The company was founded by Elon Musk and Sam Altman and is backed by LinkedIn co-founder Reid Hoffman. But for now, investing in OpenAI is out of reach for the average investor. 

However, there are other ways to gain exposure to the growth of artificial intelligence, and China’s search giant Baidu is an attractive way to gain exposure to this exciting space. The stock could be the next beneficiary of the wave of investor enthusiasm for all things AI that’s sweeping over the market.

For example, C3.ai (NYSE:AI) stock has surged over 120% year-to-date as investor interest in artificial intelligence continues to build, but the reasonably-valued Baidu looks like a sensible way for interested investors to gain exposure to AI.  

Baidu is No Newcomer to AI

Reports note that Baidu’s artificial intelligence solution will be integrated into its own search engine in March. Baidu would be one of just a handful of tech companies worldwide that has unveiled this type of technology to the public. It would also be the first company to bring this technology to China, where the government blocks access to ChatGPT and takes what some observers call a strong-handed approach to regulating internet usage in the country. 

Baidu’s growth has fallen behind that of its Chinese tech rivals in recent times, but its well-timed shift towards AI several years ago could soon begin to bear fruit. The company has spent the last few years investing in self-driving cars, deep-learning models, and even image-generation technology…