Baidu expects US sanctions to have little impact on its
Hardware

Baidu expects US sanctions to have little impact on its business anytime soon

Chinese search giant Baidu released quarterly results this week that beat analysts’ expectations for revenue and advertising revenue. Among other things, the company’s management had to answer the question of the extent of the impact of the October phase of US anti-China sanctions on Baidu’s business, and in this regard the representatives of the Chinese giant showed confidence and composure.

    Image source: Baidu

Image source: Baidu

Anyway, as I said CNBCExecutive Vice President of Baidu Dou Shen, at a meeting with analysts after last quarter’s earnings report, expressed hope that “In the near future, the impact of US sanctions will be very limited”. The bulk of Baidu’s AI business, according to a spokesman, doesn’t rely heavily on advanced lithographic chips.

The robotic taxi business Apollo Go will not be particularly affected by the US anti-China sanctions either, since the chips used in the onboard systems of such cars were not covered at all by the new export restrictions. In cases where Baidu requires chips manufactured to advanced lithographic standards, the company intends to rely on ready-made inventories sufficient to successfully develop the business in the near future. The company has already started using Kunlun series artificial intelligence accelerators for both its own needs and to supply customers.

Baidu’s well-developed vertical infrastructure allows the company to work effectively in the development of both artificial intelligence components and software, the company’s executive vice president pointed out. According to experts from Mizuho Securities, Baidu’s willingness to build its own manufacturing base will also bring certain results.

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Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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