New Delhi, Sep 22 (SocialNews.XYZ) As artificial intelligence (AI) race heats up, more and more unemployed young people in China are launching their solo AI startups, according to a new report.
The Wall Street Journal reports that they are launching one-person companies as AI makes it easier to build and run businesses alone.
More than seven million new solo companies were established last year, up around 42 per cent from 2024. Many founders are using AI for coding, marketing, customer service, and administrative work.
However, many of these businesses are struggling to make money, with more than half reportedly earning under $1,000 a month, the report noted.
“Fed up with the rat race, people are trying their luck by starting solo AI companies — but they face a brutal market,” it added.
Another report mentioned that China’s rapid adoption of AI is reshaping workplaces across industries, boosting productivity but also intensifying concerns about job displacement, particularly among young workers.
As Beijing accelerates efforts to integrate AI into nearly every sector of the economy, employees in fields ranging from software development to delivery services are increasingly feeling the impact, according to a Quartz report.
The speed of AI adoption in China has been striking. According to market intelligence firm IDC, fewer than 10 per cent of Chinese industrial enterprises were using AI models and agents in 2024.
That figure surged to nearly half of all industrial businesses last year, highlighting how quickly companies are embracing the technology to improve efficiency and reduce costs.
The labour market impact comes at a challenging time for China’s youth.
Although the country’s overall urban unemployment rate stands at about 5 per cent, joblessness among people aged 16 to 24 who are not in education remains significantly higher, approaching three times the national average.
Analysts warn that widespread automation could make it even more difficult for younger workers to secure stable employment opportunities.
—IANS
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Source: IANS
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