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AI Superpowers – The Rise of Chinese Entrepreneurs

3 min read

Personal reflections on Chapter 3 of AI Superpowers — from state-guided ecosystems to the power of disciplined execution.


Chapter 3 — My Take on “The Alternate Internet Universe”

I picked up AI Superpowers to understand AI better — but Chapter 3 made me stop and think about something else entirely: how China has quietly built an entrepreneurial machine, one that might outpace Silicon Valley not because it’s more creative, but because it’s more relentless.

Kai-Fu Lee makes his admiration clear. Maybe even too clear. I respect the balance he tries to keep, but it’s obvious his heart leans toward the Chinese system. That’s not necessarily a bad thing — just something to notice. Someone else with a strong Western mindset might have painted a very different picture using the same facts.


Entrepreneurs as the New Innovators

The comparison to the age of electricity hit me: it wasn’t just about discovery, it was about how people built businesses on top of it. Same with AI. And Lee’s point is simple — China has better entrepreneurs right now.

Why?

  • They’ve survived brutal competition.
  • They’re constantly iterating and adapting.
  • They integrate the digital with the physical — deeply.

From ride-hailing apps that also offer car repairs, to WeChat becoming a platform for everything — Chinese tech isn’t just “online”. It’s embedded in daily life. And that means something big for AI: better, denser, more valuable data.


The Data Advantage: Not Just Quantity, But Quality

Here’s something I really started to believe while listening: Chinese users generate more useful data than American users. Not because they’re better people — but because the platforms they use are more deeply connected to real-world services.

Meanwhile, U.S. user data often comes from entertainment apps, endless scrolling, likes, outrage. It’s noisy. Surface-level. The kind of data that teaches an algorithm to hold attention — but not necessarily to understand life.

In contrast, Chinese superapps track actions: where you go, how you pay, what you book, when you move. It’s real behavior, not just reactions. That’s a goldmine for AI.


State-Guided Innovation: Effective, Not Free

One thing I’ve come to respect — even if it’s not my ideal — is that the Chinese state played a deliberate role in this ecosystem. They seeded capital, set direction, and nurtured entrepreneurship like it was a national project.

Sure, it’s not the free-market ideal. It’s top-down, planned, and probably limiting in some ways. But you know what? It works for them. And I’m not the type to impose “freedom” on people who don’t want it. If their system brings results and people are on board — so be it.


Final Reflection: Discipline > Talent?

This whole chapter made me think of a deeper belief I’ve had for years:

Hard work beats talent when talent doesn’t work hard.

And maybe China is proving that now — not just in AI, but across tech. The West gave the world open-source tools, published its ideas freely, and led with creativity. But now? China is executing faster, refining better, and absorbing everything.

They don’t worship originality — they worship results. And in the long run, maybe that’s enough to win.

Chapter 3 didn’t just teach me about China. It reminded me of this:

Execution is the real innovation.