UBS: Adoption rate of artificial intelligence agents accelerating this year, optimistic about TENCENT (00700) and others.

UBS released a research report stating that with the continuous iteration of model capabilities, 2026 may become a crucial year for the large-scale adoption of artificial intelligent agents, at which point the application of artificial intelligence will shift from dialogue to action. However, the report observed that application scenarios are showing a trend of differentiation, with the United States increasingly focusing on enterprise applications, while China is increasing its investment in consumer-facing services. The report pointed out that major Chinese internet companies launched red envelope activities during the Spring Festival to drive traffic to their AI services, including TENCENT's Yuanbao red envelope with a total amount of 1 billion RMB, BABA-W's Qianwen red envelope with a total amount of 3 billion RMB, BIDU-SW's Wenxin red envelope with a total amount of 0.5 billion RMB, and ByteDance's beans red envelope. In the short term, the bank believes that this will accelerate the popularization of AI among users, especially in lower-tier cities, and promote users to use more AI and intelligent agent functions in these native AI applications, such as image and video generation, flash shopping, and other transaction booking services. In the long term, the bank expects that the Chinese AI chat market, represented by Siasun Robot & Automation, may experience a trend of consolidation, similar to the market structure of ChatGPT in the United States. Combining the massive user base and complete ecosystem of internet giants, this will help to foster consumer-facing AI super applications and become a new traffic entry point in the Chinese market. The bank recently initiated coverage of MiniMax-WP (00100), believing that the company has a good layout and is expected to benefit from the tailwind of artificial intelligence in China and global markets. The bank also believes that the risk of AI disruption in China should be lower than in the United States. Among internet giants, they are optimistic about Alibaba and Baidu's full-stack AI capabilities, as well as the potential of Tencent and KUAISHOU-W (01024) in the field of AI applications.