Artificial intelligence is infiltrating traditional industries at B and G

In 2017, artificial intelligence began making significant inroads into traditional industries, particularly within the ToB (business-to-business) and ToG (government-to-government) sectors. This shift marked a turning point as AI started to move beyond consumer-facing applications and into more complex, real-world environments.

Unlike the competitive smart speaker market, which was already in its second half of the race, the field of smart driving entered a legal and regulated phase. In this same year, AI was increasingly being integrated into various traditional industries, signaling a broader transformation across sectors like finance and security. From collaborations between major state-owned banks and tech companies in the realm of smart finance, to the massive daily traffic at Shenzhen AMB, and even the emergence of China’s first AI lawyer, numerous developments highlighted the growing influence of artificial intelligence in different fields. **ToB: Smart Investment** In 2017, smart investing emerged as a key focus for AI in the financial sector. Broadly speaking, digital investment advisors—often referred to as robo-advisors—were becoming popular. These tools use algorithms and portfolio optimization models to provide personalized investment advice based on an investor's risk tolerance, income goals, and preferences. According to BI Intelligence, by 2020, the global assets under intelligent investment management were expected to reach $8 trillion, with sustainable investment accounting for about $2 trillion. This represents a huge opportunity for AI-driven financial services. Major Chinese banks such as Bank of China, ICBC, and Agricultural Bank began partnering with tech giants like Tencent, Alibaba, and Baidu to integrate AI into their operations. These collaborations aimed to enhance customer experience, improve data sharing, and drive innovation in financial services. Startups in the smart investment space also gained traction, with companies like Miyaki, Blue Ocean Fortune, and Block Box securing significant funding rounds. Despite this growth, experts like Li Juan from the Shanghai Financial Information Industry Association noted that AI in finance was still in its early stages, with challenges in data integration and analysis remaining. **ToG: Security Applications** The security industry also saw a surge in AI adoption. At the 2017 AMB fair, the event exceeded expectations with three times the projected traffic, drawing professionals, manufacturers, and customers alike. However, while the industry’s output didn’t triple, it still showed strong growth, reaching over 568.7 billion yuan in 2016. Many exhibitors focused on how AI could be applied in security, with over 70% of companies mentioning AI in their materials. These ranged from software and hardware providers to component manufacturers and terminal equipment suppliers. Video surveillance remained a core part of the security industry, with 80% of equipment relying on video products. By 2015, the video surveillance market had reached 100 billion yuan, making up two-thirds of all electronic security products. AI significantly improved upon human capabilities in areas like target detection, tracking, and property extraction. It was being used in public safety, smart cities, and building monitoring to enhance efficiency and accuracy. Startups in the security space, such as Gentile Technology, raised substantial funds in 2017, showing the growing interest in AI-driven solutions. Traditional players like Hikvision and UOB also invested heavily in AI, launching advanced products like deep-learning cameras and face recognition servers. While traditional vendors had advantages in distribution and relationships, startups were gaining ground through innovation and technological development. The competition pushed companies to refine their AI applications and attract top technical talent. As 2017 progressed, the integration of AI into both business and government sectors became a defining trend, setting the stage for continued transformation in the years ahead.

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