Baidu’s metaverse chief quits as search engine giant shifts focus to AI amid ChatGPT frenzy

Ma, who joined Baidu in 2015, could not be found in a search of the company’s internal computer system as of Friday, according to a source familiar with the matter
The shift to AI comes just 18 months after Baidu launched its XiRang metaverse app, a virtual environment to explore and engage with other users

Metaverse

Coco Fengin Beijing

Published: 8:00pm, 19 May 2023

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The head of metaverse operations at Baidu has left the company after the Chinese search engine giant decided to bet its future on generative artificial intelligence (AI), the technology behind ChatGPT.

Ma Jie, who joined Baidu in 2015, could not be found in a search of the company’s internal computer system as of Friday, according to a source familiar with the matter.

Baidu declined to comment.

Ma was quoted by Chinese media The Paper on Friday as saying he “had already left Baidu”.

Domestic media Jiemian, which first reported the personnel change on Friday, cited a source from the company saying that Baidu has sidelined its metaverse business as it was difficult to make a profit in the short term.

Baidu embeds ChatGPT-like service on flagship online search engine

Besides the metaverse, Ma was also head of Baidu’s cybersecurity division. Previously, he led research and development at Chinese antivirus software firm Rising, and also founded cybersecurity start-up Anquanbao. Ma was also a technical director at Sinovation Ventures.

The shift in strategy to AI comes just 18 months after Baidu launched its XiRang app, also known as “Land of Hope,” a virtual environment to explore and engage with other users. The company hosted several virtual events to attract users, including a fashion show with Dior and a virtual job fair with the Suzhou city government in Jiangsu province.

When the Baidu app was unveiled in December 2021, the metaverse was gaining widespread attention. Two months earlier, US social media giant Facebook had renamed itself as Meta Platforms, with a pledge to focus on the technology.

At the time, Ma said “the metaverse is still in a very early stage of development” and it would take a long time for the online community to build and improve it together.

Baidu CEO Robin Li introduces Ernie Bot during an event in Beijing, March 16, 2023. Photo: AP

However, XiRang was criticised for poor visualisation and modelling, and failed to gain traction. In October last year, Chinese media Honeycomb Tech took a virtual tour in the community but barely encountered other users.

Now Baidu is betting big on AI. Four months after San Francisco-based OpenAI launched ChatGPT, Baidu launched its answer to the technology, called Ernie Bot. Company co-founder and chief executive Robin Li Yanhong has repeatedly said the firm’s future lies with AI.

“We believe the emergence of generative AI and large language models present transformative potential for AI in various industries, to help people and organisations achieve more and have a positive impact on society,” Li said during an earnings call earlier this week.

Hong Kong-traded shares of Baidu closed down 4.5 per cent to HK$120 on Friday.

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