Core Viewpoint - The article emphasizes the necessity for enterprises to internalize AI capabilities as a fundamental skill to achieve sustainable intelligent growth, moving beyond temporary applications to integrate AI deeply into their organizational structure and business processes [1][2][3]. Group 1: AI Integration in Enterprises - Enterprises are increasingly clear about their goals regarding AI, seeking growth, efficiency, and innovation, and are less interested in applications that do not integrate with their core business [2]. - The consensus in the industry is that AI must be embedded into the organizational structure and innovation processes of enterprises to become a foundational capability, akin to utilities like water and electricity [2][3]. Group 2: Baidu's AI Infrastructure - Baidu's strategy involves two evolutionary paths: leveraging existing cloud resources to integrate AI into PaaS and SaaS applications, or building a full-stack AI capability from the ground up [6]. - Baidu's AI infrastructure includes the Kunlun chip and the Baidu Intelligent Cloud, which aims to provide a robust AI cloud infrastructure for enterprises to internalize AI capabilities [6][9]. Group 3: AI Infra and Agent Infra - The dual approach of AI Infra and Agent Infra is essential for enterprises to internalize AI, where AI Infra provides the necessary computational power and Agent Infra offers tools for developing AI applications [8][9]. - Baidu's AI Infra focuses on providing stable, efficient, and cost-effective computing resources, while Agent Infra simplifies the development of AI applications by encapsulating complex elements [9][12]. Group 4: Real-World Applications and Success Stories - Baidu has successfully implemented AI agents in various industries, such as the "multi-collaboration SOP analysis Agent" in the restaurant sector, which improved operational standards during peak times [19]. - In the financial sector, the "off-exchange trading Agent" developed with Galaxy Securities increased the conversion rate from inquiry to order by three times, demonstrating significant business growth [19]. - The collaboration with Southern Power Grid led to the development of agents that enhanced the efficiency and reliability of power grid operations, freeing up personnel for more complex tasks [19]. Group 5: Future Directions and Innovations - Baidu has introduced the "self-evolving" super intelligent agent, "Baidu Famo," which aims to find global optimal solutions in complex business scenarios, marking a significant advancement in AI capabilities [21][22]. - The agent's design is inspired by evolutionary algorithms, allowing it to simulate and discover solutions that have not been previously identified by human experts [21][22]. - Baidu's focus on expanding the capabilities of AI agents from executing tasks to autonomous evolution and strategic decision-making sets it apart from other players in the industry [22][24]. Group 6: Strategic Vision for AI Adoption - Baidu's comprehensive strategy encompasses building a solid computational foundation (AI Infra), lowering development barriers (Agent Infra), and leading future directions with the "Famo" super intelligent agent [29]. - The article concludes that a true revolution in intelligent productivity is just beginning, highlighting the transformative potential of AI in various sectors [30].

Core Viewpoint - The article discusses the transformation of the cloud computing landscape in China due to the rise of large models, emphasizing the strategic choices made by different players in the market, particularly Baidu Smart Cloud's unique approach of integrating AI with cloud services to establish a competitive edge [1][4][8]. Group 1: Market Dynamics - The cloud computing market in China has shifted from a resource-driven model to an intelligent-driven model, with the advent of large models acting as a key variable in this transformation [4][8]. - Many cloud providers initially focused on rapid market share acquisition through infrastructure expansion and price competition, leading to a fragmented approach where AI was treated as a separate entity rather than integrated with cloud services [9][10]. - Baidu Smart Cloud adopted a "cloud-intelligence integration" strategy from the outset, positioning itself as a pioneer in the AI cloud space and avoiding the pitfalls of traditional resource price wars [10][13]. Group 2: Baidu Smart Cloud's Strategy - Baidu Smart Cloud's strategy emphasizes the co-development of cloud and AI, which has allowed it to capture a significant market share in the AI public cloud sector, holding 24.6% of the market as of August 2023 [13][38]. - The company has built a comprehensive AI cloud infrastructure based on four core elements: computing power, models, data, and engineering capabilities, which are essential for supporting the rapid growth of large model applications [18][23]. - Baidu Smart Cloud's unique dual identity as both a cloud service provider and an AI technology player enables it to effectively integrate AI capabilities into its cloud offerings, enhancing overall value [10][13]. Group 3: Technological Advancements - The Baidu Baichuan AI computing platform has undergone significant upgrades to address bottlenecks in AI computing, enhancing efficiency and performance across various dimensions, including network speed and computational power [25][26][27]. - The platform's design incorporates a seamless integration of inference and training processes, maximizing overall efficiency and enabling rapid iteration of AI models [28][29]. - Baidu's AI development platform, Qianfan, has evolved to support a wide range of applications, significantly lowering the barriers for enterprises to adopt and refine AI models [32][33]. Group 4: Financial Performance - In Q2 2025, Baidu reported total revenue of 32.7 billion yuan, with AI new business revenue exceeding 10 billion yuan, driven largely by the growth of its smart cloud services [38]. - Baidu Smart Cloud's revenue grew by 27% year-on-year, reaching 6.5 billion yuan in Q2 2025, indicating a robust performance in the AI cloud market [38]. - The company's long-term strategic focus on integrating AI with cloud services has positioned it as a leader in the AI cloud sector, demonstrating significant growth potential in emerging fields such as embodied intelligence and industrial vision [39].