competition

Zhou Hongyi, chairman of 360 Group, views Nvidia’s H20 chip for China as a sign of ongoing US-China AI competition. Despite Nvidia’s 30-year lead, Zhou and Nvidia CEO Jensen Huang acknowledge Huawei’s remarkable progress in GPU development. Huang highlights Nvidia’s AI ecosystem investments, while Huawei’s Ren Zhengfei emphasizes using methods like stacking and clustering to compensate for single-chip limitations, focusing on mid-to-low-end chips and software advancements.

Taobao Instant Delivery and Meituan engaged in an intense delivery war, offering deep discounts and subsidies. This aggressive competition led to a surge in orders for both platforms, benefiting merchants and delivery personnel. While stock prices saw initial dips, the overall impact suggests a dynamic market where new entrants can challenge established players. The rivalry highlights strategic differences, with Meituan focusing on food delivery and Taobao aiming for broader integration of online shopping and instant retail.

Gree Electric’s Marketing Director, Zhu Lei, criticized competitors engaged in aggressive price wars, calling the strategy “involution” and self-destructive. He cited a TV brand entering the AC market with minimal profit margins, aiming to drive out Chinese competitors. Zhu argued this practice harms companies more than rivals and questioned its sustainability, stating industry leaders have a responsibility to the market and consumers, who may suffer from reduced quality due to price cutting.

JD.com is aggressively entering the travel market. Offering hotels a commission-free program for up to three years has already attracted nearly 50,000 applications. Leveraging its vast user base and lifestyle market leadership, JD.com aims to capitalize on peak travel season. This move follows a successful foray into food delivery using subsidies. However, facing giants like Meituan and Ctrip, the travel sector presents a distinct, more competitive challenge.

Xiaomi executive Lu Weibing’s comments during a live stream have ignited a debate in China’s appliance market. Instead of acknowledging Gree, a major competitor, Lu praised Midea and Haier, setting Xiaomi’s sights on joining them as a top player by 2030. This move, interpreted as a strategic avoidance of Gree, highlights Xiaomi’s growing influence through aggressive expansion, particularly in air conditioning and refrigeration, intensifying competition within the sector.

JD.com founder Liu Qiangdong revealed his intent to enter China’s food delivery market, signaling a major competitive challenge to Meituan. He hosted a dinner with key industry figures, including Meituan’s founder Wang Xing, to announce his plans. JD.com launched its food delivery service focusing on quality and lower commissions. It also provides full social security and insurance for its delivery workforce, aiming to attract talent and disrupt the market.

At the 2025 Chongqing Auto Show, Chinese auto executives voiced concerns over intense price competition, advocating a shift to value-driven strategies. They emphasized prioritizing quality, technology, and service over aggressive price cuts, warning about the detrimental effects on the supply chain and long-term innovation. The consensus is to move away from price wars to achieve sustainable industry growth.

Xiaomi CEO Lei Jun confirmed he pays for his own company’s cars, including the upcoming YU7. Having previously paid for his SU7 Ultra, he had to wait for delivery like any other customer. Speculation surrounds the YU7’s pricing, expected to compete with Tesla’s Model Y; analysts predict a price around RMB 250,000, while consumers await the official announcement, wondering what price point will make it a compelling purchase.

JD.com is aggressively entering the flight and hotel booking market in China. They are aggressively recruiting, offering high salaries and focusing on talent from competitors like Ctrip. The company is also investing in marketing initiatives, including promotional campaigns and offering subsidies to attract customers. This expansion signals a major shift in the online travel landscape, potentially intensifying competition with existing players like Ctrip and Meituan, with a focus on attracting consumers during the summer travel season.

Xiaomi partner Pan Jiutang commented on China’s EV market, highlighting the diverse approaches of key players like SAIC, BYD, Huawei, and Xiaomi itself. He emphasized the importance of market forces and consumer choice over internal evaluations of competitors. This followed public comments from another tech executive, reflecting the intense competition and evolving dynamics of the burgeoning Chinese EV industry.