China’s AI Giants Bet Big on Agentic AI as E-Commerce Becomes the New Battleground
Published: 30 Jan 2026
By : AITestGuide Staff
In recent months, China’s AI Giants have been making huge investments in agentic AI systems that can carry out tasks on their own, handling everything from finding products to completing payments. This shift is changing the way businesses use technology.
While companies in the West focus on creating powerful foundational AI models, China’s AI Giants like Alibaba, Tencent, and ByteDance are integrating Artificial intelligence into their e-commerce platforms. This strategy is a game-changer, as it helps these companies provide a complete, smooth experience for users, all within their own ecosystems.
China’s AI Giants Lead the Way in E-Commerce Integration
Big names in China’s tech world, including Alibaba, Tencent, and ByteDance, have been upgrading their AI systems. They are moving away from simple chatbots and focusing on agentic AI that can handle entire transactions. This includes everything from searching for products to paying for them.
For example, just last week, Alibaba upgraded its Qwen chatbot. Now, users can complete their shopping directly through the chatbot. It’s connected to Taobao, Alipay, and Fliggy, letting users compare products, make payments, and complete other tasks without leaving the chatbot interface.
Shaochen Wang, a research analyst at Counterpoint Research, says that this change is important. It creates stronger, long-lasting connections with customers and helps businesses maintain a competitive edge.
The Power of Super Apps in China
What makes China’s AI Giants even more powerful is their use of super apps all-in-one platforms that combine things like messaging, payments, and e-commerce. This makes it easier for AI to work across multiple services, offering users a smooth experience.
For example, ByteDance recently updated its Doubao AI chatbot, which now allows users to book tickets and make purchases through Douyin, the Chinese version of TikTok. Tencent is also improving its WeChat app, which already serves over 1 billion users. AI agents are expected to play a big role in making these super apps even more powerful.
Charlie Dai, a researcher at Forrester, explains that China’s AI Giants benefit from the deep integration within their platforms. They have large amounts of consumer data, and their apps are already familiar to users, making it easier for AI to succeed.
Challenges for Western Companies
Meanwhile, companies in the West, like Google, Amazon, and OpenAI, are facing more challenges. Their systems are often fragmented, and stricter privacy laws make it harder for them to integrate services across platforms.
Even though China’s AI Giants are ahead in the commercial use of agentic AI, there are still concerns about security and privacy. ByteDance warned users about these risks when introducing its Doubao AI chatbot, advising them to use it on devices that don’t have sensitive information.
The Future of Agentic AI and Global Business
The rise of agentic AI signals big changes for businesses worldwide. Experts predict that these systems will soon take over many tasks in companies, improving efficiency and reducing costs. In fact, a 2025 McKinsey study shows that almost half of all consumers already use AI when searching for products online.
By 2030, AI agents could create over $1 trillion in value for U.S. businesses by helping to speed up decision-making and improve customer experiences.
A Look Ahead: China vs. the West
Looking forward, China’s AI Giants are likely to continue focusing on their own domestic market, while U.S. companies will try to scale their AI systems globally. These different strategies will shape the future of agentic AI as businesses and governments worldwide try to manage the benefits and risks of these new technologies.
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