Baidu CFO Henry He recently spoke on the "Odd Lots" podcast at Bloomberg Invest Hong Kong, detailing how the company is pursuing a full-stack AI strategy. He explained that Baidu aims to develop proprietary components at every layer of AI, from underlying infrastructure and chips to models and cloud infrastructure, echoing a broader trend among Chinese tech giants. This approach allows Baidu to ensure a stable compute supply, optimize end-to-end performance, reduce costs, and deliver compelling cost-effectiveness for customers.
He revealed that Dario Amodei, the founder of OpenClaw, previously sought to collaborate with Baidu to enhance search capabilities for the popular AI personal assistant. This disclosure came during a discussion where He was asked about Amodei's past work at the Chinese company.
Baidu has seen significant financial gains from its AI investments. For the first quarter of 2026, revenue from Baidu's core AI-powered business reached $13.6 billion, marking a 49% year-over-year increase. This segment now accounts for 52% of Baidu General Business revenue, passing the 50% mark for the first time and becoming the majority of its revenue mix. AI Cloud Infra revenue also grew significantly, with GPU Cloud revenue accelerating to a 184% year-over-year increase. The company's robotaxi service, Apollo Go, delivered 3.2 million fully driverless rides in Q1, experiencing triple-digit growth.
Market analysts have a positive outlook on Baidu, with an average target price suggesting a 55.18% upside. The consensus recommendation is to "Buy," reflecting confidence in Baidu's AI-driven growth trajectory.
