Baidu Inc. Sees Significant Stock Surge

On Tuesday, Baidu Inc. experienced an impressive 11% increase in its stock value. This surge came shortly after the company unveiled two groundbreaking artificial intelligence reasoning models on Sunday. These new models are said to rival DeepSeek's capabilities but at a significantly lower cost, marking a pivotal moment in AI technology development.

Introducing Ernie 4.5 and Ernie X1

The first of these models, Ernie 4.5, is an updated version of the model released two years prior. Baidu claims that Ernie 4.5 has the unique ability to understand memes and satire, showcasing advancements in AI's comprehension of human humor. The second model, Ernie X1, is touted as being "on par with DeepSeek R1 at only half the price," according to Baidu. This announcement has sparked excitement and speculation about the future of AI and its applications.

Looking Ahead: Ernie 5.0

In addition to these launches, Baidu has also announced plans to release the next version of its AI model, Ernie 5.0, in the second half of 2025. This news further solidifies Baidu's commitment to leading the charge in AI innovation and development.

At 7:16 am CET, Baidu's shares were up by 11.46%, selling for 102.60 Hong Kong dollars each.