Ant Group, the fintech powerhouse backed by Chinese e-commerce giant Alibaba, has launched its newest venture in artificial intelligence with the introduction of the “Zhixiaobao” app.
This AI-powered mobile app, unveiled during a high-profile event in Shanghai, is being promoted as a versatile “life assistant” designed to simplify daily activities.
From ordering meals to hailing taxis, booking tickets, and discovering local entertainment, Zhixiaobao integrates a wide range of services to offer users a seamless experience.
Furthermore, the app’s connection with Ant’s Alipay allows it to access numerous digital payment services, demonstrating the company’s commitment to enhancing the utility of its flagship payment platform through AI-driven solutions.
The announcement comes amid an escalating AI arms race between global tech giants such as Google, Meta, and Microsoft.
Cyril Han, president of Ant Group, stated in a news release,
“Alipay is committed to harnessing AI’s potential to improve the user experience, ensuring that AI assistants like Zhixiaobao become valuable tools in everyday life for all.”
“I can do whatever you say”
His words underline Ant Group’s ambition to make artificial intelligence an indispensable part of everyday tasks.
As firms across the tech industry increase their AI investments, Zhixiaobao represents Ant Group's answer to the growing demand for AI-powered solutions that focus on consumer convenience.
Ant Group's pivot to artificial intelligence and consumer services follows a tumultuous period of regulatory scrutiny.
The company’s plans for an initial public offering (IPO) were abruptly halted by Chinese authorities in 2020, forcing Ant to restructure its business to meet regulatory requirements.
This transformation was not without significant financial consequences.
In 2023, the company was fined 7.1 billion yuan (US$984 million) for what authorities described as “illegal” activities.
Compounding the company’s woes, its valuation plummeted by more than 70% since the cancelled IPO, and its profits saw a 10% drop during the first quarter of 2024, as reported by Bloomberg.
Despite these setbacks, Ant Group continues to adapt.
The launch of the Zhixiaobao app is an effort to diversify the company’s revenue streams and regain footing in an increasingly competitive tech market.
Ant's AI ambitions are not limited to consumer-facing applications.
During the Shanghai event, the company also revealed plans for AI-powered products tailored for merchants, healthcare service users, and insurance companies.
These announcements highlight Ant Group’s determination to remain relevant by integrating AI into its core services and expanding its influence beyond traditional fintech operations.
The backbone of Ant Group’s new AI initiatives is its BaiLing foundation model, which powers the Zhixiaobao app.
Described as an “AI-native application,” Zhixiaobao stands as a testament to the company’s technological advancements in large language models (LLMs).
Approved by Chinese regulators in late 2022, BaiLing is designed to handle a variety of tasks that range from financial and healthcare services to everyday errands like ordering food and hailing taxis.
The company highlighted in its announcement,
“Zhixiaobao is built on Ant’s BaiLing foundational model, focusing on use cases that include financial, healthcare, and life services.”
With the app, users can access third-party services via text or voice prompts, allowing them to perform daily activities with ease.
This hands-free, AI-driven convenience has already attracted a considerable user base, with more than 100 million users benefiting from BaiLing’s capabilities across over 500 scenarios in Alipay.
By weaving AI into the fabric of daily life, Ant Group is positioning itself as a leader in consumer-focused artificial intelligence solutions.
Ant Group is not stopping at Zhixiaobao.
At the Shanghai conference, Cyril Han revealed the company’s plans to introduce two additional AI apps aimed at addressing specific sectors: personal wealth management and healthcare.
The wealth management app, called Maxiaocai, will provide users with AI-powered tools to manage their investments and generate personalised asset-management plans.
These apps are part of Ant’s broader mission to deliver “practical, user-focused solutions” that seamlessly integrate AI into everyday services.
This strategy aligns with the global trend where tech giants are transforming their AI research into consumer-facing applications.
In China, Ant Group joins other prominent players such as Baidu in pushing the boundaries of AI-powered products.
Just a day before Ant’s announcement, Baidu unveiled a rebranded version of its Ernie chatbot, now known as Wenxiaoyan, in an effort to make it more relatable to consumers.
This shows that the race to capture the consumer AI market is intensifying, and Ant Group is keen to maintain a leading role by offering AI solutions that meet practical needs.
The global AI market has seen an influx of resources as companies seek to capitalise on the transformative potential of generative AI.
Ant Group’s investment in large language models reflects this trend, but also responds to the growing scepticism among investors who question whether AI’s potential has been overhyped.
To address these concerns, Ant is focusing on monetising its AI products through practical applications that solve real-world problems.
Ant’s move to create a stand-alone AI app like Zhixiaobao, as opposed to simply embedding the technology into its existing platforms, reflects its intention to carve out a unique space in the AI landscape.
By launching new AI-driven products for both consumers and businesses, Ant is diversifying its offerings while demonstrating its belief in AI’s long-term value.
Han emphasised this point during the Shanghai event, where he reiterated Ant’s goal of making AI assistants like Zhixiaobao “valuable tools in everyday life for all.”
In addition to Zhixiaobao’s launch within Alipay in April 2024, Ant Group has since formed a new AI unit, NextEvo, tasked with overseeing the development and application of the BaiLing foundation model.
These efforts signal that Ant is committed to refining its AI capabilities and turning cutting-edge research into tangible, user-centered products.
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