Shares of Baidu (NASDAQ: BIDU) soared by more than 10% in pre-market trading on Tuesday after the Chinese tech company stated that it was testing out a ChatGPT-style bot called “Ernie Bot” and expected to complete the testing by March.
Enhanced Representation through Knowledge Integration (ERNIE) is Baidu’s AI-powered language model that was first introduced in 2019.
The market for ChatGPT-style chatbots is heating up with GOOGL also entering the ChatGPT race and SoundHound and C3ai also making big strides in this competition.
Analysts are cautiously optimistic about BIDU stock with a Moderate Buy consensus rating based on 15 Buys, five Holds and one Sell.