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Hangzhou emerges as a hub for open-source AI innovation

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By Dou Hao, People’s Daily

Hangzhou, in China’s eastern Zhejiang province, is rapidly developing a thriving open-source AI community. This ecosystem connects developers, startups, and industry resources, accelerating the transformation of ideas into real-world applications.

At the center of this ecosystem is the ModelScope community, one of China’s largest open-source platforms for AI large models. Jointly initiated by the China Computer Federation’s Opensource Development Committee and Chinese multinational conglomerate Alibaba, the platform hosts more than 170,000 open-source models and serves over 25 million developers worldwide. 

Covering areas such as conversational AI, text-to-image generation and video synthesis, it provides one-stop services including model downloading, fine-tuning and training.

Online collaboration is now being reinforced by offline interaction. In November last year, a ModelScope Developer Center opened in Xihu district, Hangzhou. Spanning more than 10,000 square meters, the center offers a physical space where developers exchange ideas, collaborate on projects and even find partners to launch startups.

For 25-year-old entrepreneur Zhou Jie, the center functions as both a workplace and a springboard. After lunch, he headed to a shared desk where he and his partner Liu Xuannan run their startup. 

On his screen, a humanoid robot moved agilely through a “cyber ruins” game environment, responding to voice commands to jump over obstacles.

The game, developed by Zhou and Liu during a global hackathon in January, progressed from concept to a playable version in under 48 hours.

The process was smoother than they expected, Zhou said. Open-source models eliminated costly licensing fees, computing power was covered by ModelScope’s free quota, and cloud-based tools were readily available. Together, these factors significantly reduced development costs.

Zhou, who previously worked in game development for an internet company, decided to start his own business after recognizing AI’s rapid advancement. He has since developed several AI tools and plans to upload them to the ModelScope platform to benefit more users.

The community’s open and collaborative approach has attracted a growing number of participants. Model downloads have exceeded 100 million, while the ModelScope Developer Center in Hangzhou has already signed contracts with over 50 companies and brought in more than 100 resident developers.

Technical exchange events are commonplace within the center. At a recent seminar on multimodal models, the venue was filled to capacity. Zhou noted that face-to-face interaction has helped transform loose online connections into deeper, more effective collaboration.

The center integrates multiple functions, including AI application experience zones, seminar rooms, demo halls and startup incubation spaces, aiming to provide a full-cycle support system — from idea generation to product deployment.

Beyond workspace and networking, practical support is also a key attraction. When Zhou first launched his business, he was unfamiliar with administrative procedures. “From submitting documents to getting a business license, it took less than a day,” he said. “Staff guided me through everything, freeing me to focus on the product.”

The benefits extend further. With the center’s matchmaking services, Zhou’s game technology—combining voice interaction and scene generation—is now being integrated into a local cultural tourism project, turning innovation into commercial orders.

Such connections are becoming routine. According to Rao Siyi, deputy general manager of matchmaking company Hangzhou Scene, the company has cataloged 292 industry demands and 362 technical capabilities. “Previously, technologies often remained theoretical while s struggled to find solutions. Now, we provide both online matching tools and offline meeting spaces to connect them directly,” Rao said.

Policy support adds further appeal. Qualified talent at the center can receive subsidies for housing and other incentives, while resident companies are eligible for rent-free office space of up to 200 square meters.

By linking a vibrant online open-source ecosystem with offline collaboration and real industrial demand, Hangzhou is building a comprehensive support system covering the full lifecycle of innovation. So far, the ModelScope “innovation space” has incubated more than 10,000 AI applications, with over 1.6 billion calls made through its model context protocol services.

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China

Inside China’s first quantum-powered demonstration substation 

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By Xu Jing, People’s Daily

Quantum technology is beginning to transform the way China’s power grids operate. At the 220-kilovolt Houdian Quantum Application Demonstration Substation in Hefei, east China’s Anhui province, a suite of advanced quantum technologies is now in use. These include diamond-based quantum sensing materials to monitor current fluctuations, quantum-dot gas sensors to detect potential cable fire hazards and partial discharge faults inside switchgear, and other innovations that strengthen the intelligence, safety, and efficiency of grid operations.

Commissioned in November 2024, the facility is China’s first demonstration substation dedicated to the systematic application of quantum technologies. It has deployed 85 independently developed quantum devices across 18 categories, covering quantum sensing, quantum communication, and quantum computing. 

The project represents a pioneering effort to integrate quantum technologies into power grid engineering, offering a new technological solution to the challenges faced by conventional power grids while supporting the development of a new-type power system.

The substation also represents a new generation of fully unattended intelligent substations.

“We have replaced many manual inspection tasks with high-precision quantum sensing equipment,” said Tian Teng, a young engineer at the digitalization institute of the electric power research institute under State Grid Anhui Electric Power Co., Ltd. “The new system can identify and diagnose equipment defects much faster, reducing both inspection costs and operating expenses.”

Inside the high-voltage switchgear hall, rows of power equipment operated steadily. Standing beside an out-of-service switchgear cabinet, Tian pointed to a small device mounted on its side.

“This is a quantum-dot multi-parameter sensor,” he explained. “It continuously monitors the cabinet’s internal environment and detects signals associated with partial electrical discharge, enabling us to assess the condition of the switchgear.”

He then pointed to another compact device attached to a cable beneath the cabinet.

“This is a distribution network current sensor. It monitors line loading in real time and can quickly and accurately locate faults along the transmission line.”

Quantum technologies are embedded throughout the facility — not just in these compact sensing devices.

Quantum technologies are embedded throughout the facility — not just in these compact sensing devices. A quantum lidar system installed on the rooftop monitors atmospheric particles and cloud conditions within a 15-kilometer radius, providing early warnings of weather-related risks.  Quantum attitude sensors mounted on transmission towers can detect magnetic field changes as small as 1/10,000 of the Earth’s magnetic field, enabling highly accurate monitoring of tower alignment. 

Besides, quantum encryption equipment supports both fiber-based quantum secure communications and “5G + quantum” encrypted communications, significantly enhancing cybersecurity across the power network.

The innovation extends beyond physical equipment. The substation has adopted a quantum computing-based approach for power flow analysis, which has been validated using the topology of a real-world power grid on Origin Wukong, China’s domestically developed quantum computer.

“This breakthrough provides an entirely new technical approach for large-scale power grid simulation,” Tian said. “It is expected to further improve the real-time analytical and computing capabilities of power systems.”

Why did China build this quantum-powered substation?

According to Tian, conventional power grids are increasingly facing three major challenges as renewable energy and power-electronics-based equipment become increasingly widespread: limited accuracy in equipment condition monitoring and delayed response; insufficient security for data transmission and control instructions; and the computational limitations of conventional computers when making rapid decisions for increasingly complex grid operations.

Developing a new-type power grid supported by quantum technologies has become an inevitable choice, he said.

Developing the necessary equipment, however, was far from straightforward.

There were no domestic precedents, no established standards and no mature technical solutions to follow, said Zhao Long, head of the power quantum sensing laboratory at the electric power research institute under State Grid Anhui Electric Power Co., Ltd.

“The biggest challenge came when supplies of high-quality diamond sensing materials were cut off by overseas suppliers, bringing the project close to a standstill,” he added.

The team eventually partnered with domestic materials researchers to develop customized alternatives. After repeated rounds of experimentation and testing, they achieved a breakthrough.

New engineering challenges soon emerged, including electromagnetic interference and adapting laboratory technologies to real operating conditions.

“For several consecutive months, we spent our days at the substation collecting data and tuning system parameters, and our nights back in the laboratory refining algorithms and improving packaging and shielding designs,” Zhao recalled.

“When the quantum current transformer finally displayed accurate readings on the monitoring screen, everyone on the team burst into applause. We had successfully bridged the ‘last mile’ from laboratory research to real-world engineering.”

According to project estimates, the application of quantum technologies enables the Houdian demonstration substation to reduce annual electricity measurement errors by more than 500,000 kilowatt-hours, while significantly improving the reliability and economic efficiency of grid operations.

Several quantum technologies first demonstrated at the substation have since been deployed elsewhere across Anhui province and are now being introduced to more regions across China.

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Chinese robots expand global reach through diverse applications 

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By Ouyang Jie, Liu Junguo, People’s Daily

From factories and power plants to warehouses and emergency response sites, Chinese-made robots are increasingly being deployed across a wide range of applications worldwide. 

This expansion reflects not only the rapid growth of China’s robotics industry but also the ability of Chinese companies to develop products tailored to diverse market needs, improve service capabilities, and build localized operations overseas. 

At the assembly workshop of Pudu Robotics, a Chinese service robotics manufacturer located in Jianhu county, east China’s Jiangsu province, five production lines were running at full capacity for 10 hours. 

Workers at assembly stations were installing new batches of lidar modules into robot bodies. The company’s production schedule has already fully booked through 2027, with factory production plans significantly tighter than last year.

Founded in 2016, Pudu Robotics has focused on the global commercial service robot market. It has shipped more than 130,000 units and served over 50,000 end customers worldwide. 

Since the beginning of this year, the company’s exports have already exceeded the total volume of the previous year, with products sold to 85 countries and regions. Its cleaning robots, in particular, have maintained year-on-year export growth of more than 100 percent for consecutive years, accounting for 29 percent of the global commercial cleaning robot market.

Pudu Robotics is just one example of Chinese intelligent robot companies expanding into overseas markets. According to customs data from Shenzhen, south China’s Guangdong province, exports of various types of robots from Shenzhen reached 6.94 billion yuan ($1.03 billion) in the first half of this year, representing a tenfold increase year-on-year. These products were shipped to more than 110 countries and regions.

Strong technological capabilities are at the core of the global competitiveness of Chinese manufacturing.

“Our quadruped robots have officially started operations at a nuclear power plant in Switzerland, carrying out frequent and routine autonomous inspections in high-risk areas,” said Yao Hengyan, assistant general manager of DEEP Robotics in Hangzhou, east China’s Zhejiang province.

The robot can climb slopes as steep as 45 degrees, navigate narrow spaces between equipment and access areas that are difficult for humans to reach. Equipped with thermal imaging and acoustic sensors, it can accurately detect potential hazards such as leaks, abnormal temperatures, and unusual equipment noises. 

Inspection data is uploaded in real time to a digital management platform, which can automatically issue alerts and initiate responses once anomalies are detected.

Besides, the quadruped robots of the company are also used for factory security and underground pipeline inspection in Switzerland.

A diverse product portfolio has enabled Chinese robots to adapt to a broad range of global application scenarios.

Pudu Robotics has divided the market into 16 major industries and more than 800 categories of specific applications and tasks based on customer needs, said Zhang Tao, founder and CEO of the company. The company has continuously optimized the overall performance of its products to ensure they are “functional, user-friendly, and durable” in complex environments.

It has established four major product lines covering delivery, cleaning, industrial, and general-purpose embodied intelligence robots, with applications spanning multiple sectors, including manufacturing and warehousing logistics.

The successful deployment of DEEP Robotics’ quadruped robots at a Swiss nuclear power plant, where safety standards are extremely demanding, demonstrates the stability and reliability of China-made robots, Yao said. 

The company has reached an agreement with its Swiss client to expand cooperation, and its robots, which can adapt to complex terrain and extreme weather conditions, have already been deployed in energy, industrial, and emergency response scenarios in various parts of the world.

As they continue to explore overseas markets, many Chinese robotics companies are shifting from simply exporting products to building localized brands and service networks.

Competition in China’s service robot sector has moved beyond price-performance advantages and entered a new stage where quality, brand recognition, and service capabilities are equally important, Zhang said. Customers are looking for not just a machine, but a comprehensive solution that can operate reliably over the long term.

To meet these needs, Pudu Robotics has established local offices and service centers in major global markets and built a cooperation network involving more than 1,000 distributors. The network provides partners with full-process support, including pre-sales consultation, sales assistance, deployment, after-sales maintenance, and rapid spare parts response, helping customers overcome concerns about adopting complex technologies.

The current penetration of robots remains relatively low, leaving broad room for future growth, Zhang said. As robots become increasingly integrated into various industries, different application scenarios will require different types of robots and capabilities. The company hopes to develop a unified “intelligent brain” for robots that can empower various products in fields such as delivery, cleaning, and industrial applications.

Pudu Robotics will continue expanding investment in technological innovation and product upgrades, making robots increasingly intelligent and capable of serving more industries worldwide, Zhang added.

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Wuxi’s “Token Supermarket”: A one-stop AI model platform for local businesses

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By Yao Xueqing, People’s Daily

When Li Tao, the software department supervisor at Sevice — a security technology company based in Jiangsu — opened Wuxi’s AI industry service platform, he navigated straight to the “Token Supermarket” on the homepage. He logged into his account to check usage metrics and his remaining balance.

Li’s company specializes in intelligent security, with software development as its core business. “Since last year, AI has handled 85 percent of our software development workflows,” Li said. The company needs to purchase tokens from various large language model platforms, with fees calculated based on usage.

Initially, the company’s demand for tokens was limited, and the cost was almost negligible. But as computing needs grew rapidly, monthly expenses increased. Different large models have different capabilities and applications, Li said. Companies not only have to cope with rising costs, but also manage and maintain multiple accounts and switch between different models, he added.

In May this year, Wuxi rolled out this city-level “Token Supermarket.” Li Tao visited the platform the very day it went live. Lined up on its virtual “shelves” were over 20 mainstream large models, covering nearly all those widely adopted by enterprises.

Thanks to the platform’s centralized procurement, most offerings are available at favorable rates. Even more convenient, users need only a single registered account to call upon different large models on demand.

The company immediately decided to register with the “Token Supermarket” and top up its account. Li did the math: with a monthly recharge of 20,000 yuan ($2,963), more than 30 engineers can use 4 billion to 5 billion tokens. The complimentary concurrent-access benefit package has also enabled more than 30 employees to work efficiently in parallel.

As a result, the company has cut research and development costs by nearly 30 percent, shortened software development cycles from two weeks to less than one week, and increased efficiency by 50 percent.

Why did Wuxi launch such a “Token Supermarket,” and what makes it unique?

According to Zhu Yiqing, deputy general manager of Wuxi Digital New Infrastructure Co., Ltd., which operates the platform, token usage is growing rapidly, but companies still face challenges such as high costs, complicated management of multiple AI model accounts and difficulties in calculating expenses.The “Token Supermarket” was developed to provide a one-stop purchasing platform and has already served more than 50 enterprises.

Its customers include not only companies like Li’s that purchase tokens to assist with daily office work, but also many enterprises that buy tokens as “bulk raw materials” for further processing and development.

Dramasmaker, a startup developing AI-powered animated storytelling production tools, is one such customer. The company was founded in August last year and spent more than six months independently developing a one-stop animation production system, which entered the testing and production phase in May of this year, said general manager Wei Jianfei.

The company needs to purchase large amounts of tokens, resulting in high costs. During the early startup stage, this placed considerable pressure on its cash flow, Wei said.

Zhu noted that the “Token Supermarket” can also be connected with financial services, with financial products to be integrated into the platform’s payment system.

Notably, staff members of the “Token Supermarket” are currently sprucing up its virtual premises: alongside an existing “brand zone,” a new “local-source offerings zone” has been rolled out.

According to Zhu, Wuxi’s computing-power industry is developing rapidly, with 19 intelligent computing centers now up and running, most of which deliver computing power for immediate sale. 

Tokens generated by these intelligent computing centers are listed on the “Token Supermarket,” bringing cost-competitive options for users. The platform also bolsters the local computing-power sector while serving small and medium-sized enterprises.

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