Zhipu AI Defies Market Slump, Prioritizes AGI Over Quick Profits
On Monday, Zhipu AI, the Chinese firm behind the GLM-5.2 model, defied a significant downturn in AI stocks, finishing nearly unchanged at HK$1,645 in Hong Kong. Since its launch in January, the company’s shares have surged twelvefold. Trading under the name Knowledge Atlas Technology, Zhipu AI announced over the weekend its commitment to focus on developing artificial general intelligence (AGI) rather than immediate commercial gains. Co-founder Tang Jie, a noted computer scientist from Tsinghua University, conveyed in an internal letter on Saturday that the firm would dedicate the next two years to pioneering AI research without seeking short-term profits. Zhipu AI's market capitalization has decreased to HK$730 billion from over HK$1 trillion last month, while competitor MiniMax saw a nearly 20% decline. The broader mainland Chinese tech sector also suffered, with the Shanghai Composite Index dropping 2.06% and other major indexes declining over 3%.
Key facts
- Zhipu AI closed almost flat at HK$1,645 on Monday.
- Shares have skyrocketed 12-fold since January debut.
- Company pledged to prioritize AGI over near-term commercialisation.
- Internal letter from co-founder Tang Jie issued on Saturday.
- Company will spend next two years investing in frontier AI research.
- Market cap dropped to HK$730 billion from over HK$1 trillion peak.
- Arch-rival MiniMax slumped almost 20%.
- Shanghai Composite Index fell 2.06%.
Entities
Institutions
- Zhipu AI
- Knowledge Atlas Technology
- Tsinghua University
- MiniMax
- South China Morning Post
Locations
- Hong Kong
- China
- Chinese mainland