Chinese AI Firms Launch Lunar New Year Giveaway Blitz
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy BIDU?
Source: Newsfilter
- Lunar New Year Promotions: During the Lunar New Year, Chinese AI companies like ByteDance, Baidu, Tencent, and Alibaba are giving away luxury cars and cash red envelopes to attract users, with ByteDance offering 100,000 prizes for its Doubao AI model, including some red envelopes as high as CNY8,888 (about $1,280), highlighting the fierce competition for user acquisition.
- Massive Financial Investments: Baidu allocated CNY500 million (about $72 million) for its Ernie chatbot, Tencent doubled that to CNY1 billion (about $145 million), and Alibaba's investment reached a staggering CNY3 billion (about $434 million), all aimed at rapidly attracting users and building developer ecosystems.
- Intensifying Market Competition: Analysts indicate that this promotion, dubbed the
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy BIDU?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on BIDU
Wall Street analysts forecast BIDU stock price to rise
13 Analyst Rating
11 Buy
2 Hold
0 Sell
Strong Buy
Current: 137.330
Low
140.00
Averages
170.39
High
215.00
Current: 137.330
Low
140.00
Averages
170.39
High
215.00
About BIDU
Baidu Inc is a Chinese language Internet search provider. The Company operates its businesses through two segments, Baidu Core segment and iQIYI segment. Baidu Core segment mainly provides search-based, feed-based, and other online marketing services, as well as products and services from the Company’s new artificial intelligence (AI) initiatives, such as display advertisement and based on performance criteria other than cost-per-click, cloud services, smart devices and services, non-marketing consumer-facing services such as membership, and intelligent driving. iQIYI segment produces, aggregates and distributes a wide variety of professionally produced content, as well as a broad spectrum of other video content, in a variety of formats, including a variety of products and services encompassing online video, online games, online literature, comics and others.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Intensifying US-China Competition: Microsoft President Brad Smith highlighted at the AI Impact Summit in New Delhi that while the US has advantages in chip access and technological innovation, Chinese government subsidies could significantly alter the competitive landscape, particularly in developing markets.
- Impact of Chinese Subsidies: Smith noted that the Chinese government supports its AI firms through multi-billion-dollar national investment funds and energy vouchers, a strategy that previously enabled companies like Huawei and ZTE to disrupt the telecommunications market, forcing some American and European firms into a defensive position.
- Global Data Center Presence: He emphasized that Chinese firms like Huawei and Alibaba have established data centers worldwide, and they may continue to leverage state subsidies to enhance their market competitiveness, posing challenges for companies in other countries.
- Microsoft's Investment Plans: Microsoft aims to invest $50 billion by 2030 to promote AI development in the
See More
- Travel Predictions: Preliminary figures indicate that Beijing is expected to see 110 million trips during the Lunar New Year, with a staggering 9.5 billion trips nationwide, reflecting a strong desire for new experiences among China's 1.4 billion population and signaling economic recovery.
- Tourism Resurgence: Xishuangbanna reported over 4 million visits and tourism revenue of 5.04 billion yuan (approximately $730 million) during the holiday, demonstrating the resilience of local tourism markets in attracting visitors despite economic challenges.
- Theme Park Launch: iQiyi opened its first theme park in Yangzhou, featuring virtual reality and live performances to meet the rising demand for offline entertainment, positioning it as a new growth driver for the company amid fierce competition in the streaming market.
- Luxury Market Trends: Despite retail sales in China growing only 0.9% in December, Louis Vuitton opened two new stores in the past year, emphasizing the use of social media and celebrity endorsements to attract consumers, showcasing the resilience of luxury brands during the festive shopping season.
See More
- Stock Price Impact: On November 26, 2025, Baidu's stock fell by $1.54, or 1.3%, to close at $116.34 after the Pentagon listed the company as aiding the Chinese military, resulting in investor losses.
- Further Volatility: On February 13, 2026, Baidu was again listed by the Pentagon as aiding the Chinese military, but the list was withdrawn minutes later, causing nearly a 5% intraday drop in stock price, further harming investors.
- Legal Firm Involvement: Glancy Prongay Wolke & Rotter LLP is investigating on behalf of Baidu investors regarding potential securities law violations, highlighting the legal commitment to protecting investor rights and recovering losses.
- Whistleblower Program: The firm encourages individuals with non-public information to utilize the SEC Whistleblower Program, which offers rewards of up to 30% of any successful recovery, underscoring the importance of investor protection.
See More

Author Background: Jonathan E. Hillman is a senior fellow for geoeconomics at the Council on Foreign Relations and has authored "The Digital Silk Road: China’s Quest to Wire the World and Win the Future."
Focus on Geoeconomics: Hillman's work emphasizes the intersection of economics and international relations, particularly in the context of China's global influence through digital infrastructure.
See More
- Successful Rocket Launch: The French president celebrated the successful launch of Europe's most powerful rocket, which deployed 32 Amazon Leo satellites into orbit, marking a significant advancement in Europe's space capabilities and enhancing its competitiveness in the global space market.
- Pause on Tech Security Measures: Ahead of the Trump-Xi Jinping meeting, the Trump administration reportedly paused several critical technology security measures targeting China, a decision that could influence the future trajectory of U.S.-China tech relations and reduce market uncertainties.
- Apple Court Victory: Apple secured a courtroom win as a jury rejected claims from Optis Wireless that it infringed on 4G wireless patents, a result that will help protect Apple's intellectual property and strengthen its market position.
- AI Industry Developments: Elon Musk criticized AI startup Anthropic for alleged bias while announcing a $30 billion funding round that pushed its valuation to $380 billion, highlighting the intense competition and rapid evolution within the AI sector.
See More
- Regulatory Compliance Demand: China's State Administration for Market Regulation summoned leading internet platforms like Alibaba, Baidu, and JD.com, mandating strict adherence to anti-unfair competition laws, e-commerce laws, consumer rights protection laws, and pricing laws to ensure fair market competition.
- Warning Against Cutthroat Competition: The regulator urged companies to eliminate 'involution-style competition,' which refers to cutthroat rivalry, and called for collaboration to maintain a healthy market environment, promoting sustainable development and industry stability.
- Participating Companies: Other firms such as ByteDance's Douyin, Tencent, Meituan, and Taobao also took part in the discussions, highlighting the regulator's focus on the entire industry and the importance of compliance.
- Impact on Market Environment: This regulatory action may have profound implications for internet companies' operational models, prompting them to prioritize compliance and cooperation in their competitive strategies, thereby influencing the future market landscape.
See More








