{"id":604672,"date":"2025-07-30T16:08:01","date_gmt":"2025-07-30T14:08:01","guid":{"rendered":"https:\/\/mybroadband.co.za\/news\/?p=604672"},"modified":"2025-07-30T16:13:54","modified_gmt":"2025-07-30T14:13:54","slug":"chinese-ai-cheat-code-for-south-africans","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/trending\/604672-chinese-ai-cheat-code-for-south-africans.html","title":{"rendered":"Chinese AI cheat code for South Africans"},"content":{"rendered":"\n

South Africans who wish to invest in China\u2019s burgeoning artificial intelligence sector should consider the KraneShares China Internet ETF, portfolio manager Grant Nader has said.<\/p>\n\n\n\n

Nader, a senior portfolio manager at Benguela Global Fund Managers, recently selected the exchange-traded fund (ETF) as his stock pick on Business Day TV.<\/p>\n\n\n\n

He said it was a \u201clittle bit of a cheat code\u201d as it offered exposure to several Chinese technology stocks. Tencent, Alibaba, Baidu, JD.com, and Pinduoduo, which owns Temu, are among its largest holdings.<\/p>\n\n\n\n

\u201cMy view is that the AI revolution \u2014 if you want to call it that \u2014 in China is kicking off with a vengeance. They\u2019re about a year or two behind the US, but it is going to be gathering steam,\u201d said Nader.<\/p>\n\n\n\n

\u201cYou want to be able to participate in that, but it\u2019s difficult to pick the winner, and it\u2019s difficult to invest directly in China. This gives you a nice diversified exposure to that broad theme.\u201d<\/p>\n\n\n\n

Nader explained that many Chinese hyperscalers and cloud leaders are involved in artificial intelligence research and products that compete with ChatGPT, Gemini, Meta AI, and Grok.<\/p>\n\n\n\n

\u201cI think it\u2019s a massive opportunity over the next few years in China. Especially for a DIY investor, this is a great way to play it,\u201d he said.<\/p>\n\n\n\n

\u201cYou can just participate through the ETF and get a handful of great businesses, and mitigate some of that regulatory risk that comes with China.\u201d<\/p>\n\n\n\n

KraneShares said the ETF offers access to Chinese Internet companies that provide similar services as Google, Facebook, Twitter, eBay, and Amazon.<\/p>\n\n\n\n

Investors will benefit from exposure to companies listed in the United States and Hong Kong that stand to gain from increasing domestic consumption by China\u2019s growing middle class.<\/p>\n\n\n\n

Most U.S. artificial intelligence products are fighting for more mainstream dominance in the hopes of attracting more people willing to pay monthly subscription fees for their premium services.<\/p>\n\n\n\n

China has taken a different approach. Its top AI companies are releasing models into the public domain, allowing enthusiasts and rivals alike to download and use them in their own systems.<\/p>\n\n\n\n

Although the \u201copen sourcing\u201d of large language models developed by big technology companies at great cost can be traced to the leak of Meta\u2019s original Llama model in 2023, China has embraced the practice.<\/p>\n\n\n\n

Google, which is currently trailing in the AI arms race, also started releasing public versions of its language models, dubbed Gemma, in February 2024.<\/p>\n\n\n\n

However, Chinese startup DeepSeek made waves in early 2025 when it published models that rivalled the best OpenAI\u2019s ChatGPT had to offer, and which it said were developed at a fraction of the cost<\/a>.<\/p>\n\n\n\n

E-commerce, fintech, and cloud computing titan Alibaba released its new Qwen3 large language model (LLM) in April 2025, which has received wide acclaim among people who run LLMs on their own computers.<\/p>\n\n\n\n

Warning about U.S. AI \u201cmonopoly\u201d<\/h2>\n\n\n\n
\"\"
Solly Malatsi, South Africa’s Minister of Communications and Digital Technologies, who rejects the assumption that the choice between U.S. and Chinese AI technology needs to be binary.<\/figcaption><\/figure>\n\n\n\n

Bloomberg reported on Wednesday that China\u2019s answer to the United States was the launch of a new global organisation that will convene countries to foster safe and inclusive use of AI technology.<\/p>\n\n\n\n

The new group, known as the World AI Cooperation Organisation, embodies China\u2019s plan to jostle with the U.S. for sway by positioning itself as a champion of AI for all.<\/p>\n\n\n\n

At the annual World AI Conference over the weekend, Chinese Premier Li Qiang warned of AI \u201cmonopoly\u201d and called on foreign officials in the room \u2014 mostly from developing countries \u2014 to cooperate on governance.<\/p>\n\n\n\n

\u201cThe Chinese are coming to the table with a very different AI product mix,\u201d said Eric Olander of the China-Global South Project. <\/p>\n\n\n\n

Olander predicted China\u2019s approach would be extremely appealing to lower-income countries that lack the computing and power infrastructure needed for large-scale implementation of OpenAI-like systems.<\/p>\n\n\n\n

While there are no binding global rules for AI development, China\u2019s plan calls for building more digital infrastructure that uses clean power and unifying computing power standards.<\/p>\n\n\n\n

China also said it supported the role of business in creating technical standards in security, industry, and ethics.<\/p>\n\n\n\n

Bloomberg reported that Beijing\u2019s emphasis on openness \u2014 a word used 15 times in its governance action plan \u2014 appears to ride on the success of Deepseek earlier this year.<\/p>\n\n\n\n

China also emphasises Internet sovereignty, something the publication said may appeal to more autocratic regimes around the world. <\/p>\n\n\n\n

\u201cWe should respect other countries\u2019 national sovereignty and strictly abide by their laws when providing them with AI products and services,\u201d China\u2019s Global AI Governance Initiative said in 2023. <\/p>\n\n\n\n

In contrast,  the US government has vowed to only work with engineers who \u201censure that their systems are objective and free from top-down ideological bias.\u201d<\/p>\n\n\n\n

The US-China rivalry presents a familiar dilemma for countries that may feel pressured to choose a side, but Solly Malatsi, South Africa’s minister of communications and digital technologies, rejects the binary choice.<\/p>\n\n\n\n

\u201cIt\u2019s not a case of one model over the other,\u201d Malatsi said from the conference. \u201cIt\u2019s about an integration of the best of both worlds.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Benguela Global Fund Managers senior portfolio manager Grant Nader says he has a trick for investing in the Chinese AI sector.<\/p>\n","protected":false},"author":15,"featured_media":604673,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[92837,80335,40380],"tags":[5476,1934,83065,98600,83601,167,100793,90563,1982,100794,93705,94771,94769,100791,100792,76862,87953,18941,405,87831],"class_list":["post-604672","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ai","category-investing","category-trending","tag-alibaba","tag-baidu","tag-chatgpt","tag-deepseek","tag-gemini","tag-google","tag-grant-nader","tag-grok","tag-huawei","tag-kraneshares-china-internet-etf","tag-meta-ai","tag-pdd-holdings","tag-pinduoduo","tag-qwen","tag-qwen3","tag-solly-malatsi","tag-temu","tag-tencent","tag-twitter","tag-xai"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/604672"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=604672"}],"version-history":[{"count":3,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/604672\/revisions"}],"predecessor-version":[{"id":604683,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/604672\/revisions\/604683"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/604673"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=604672"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=604672"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=604672"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}