China Issues New Guidelines to Tame Tech Bubbles and Safeguard AI Development

On October 9, China published new policy guidelines designed to rein in speculative bubbles in advanced technology fields and to keep artificial intelligence safe, reliable and controllable. Issued jointly by the ruling Communist Party and the cabinet, the rules caution against blind capital flows and "swarm-like" rushes into emerging sectors, urging a focus on the real economy. They call for breakthroughs in AI theory, core technologies, and the expansion of computing power, algorithms and data, while establishing national pilot bases for industrial AI applications.

The guidelines reaffirm the "AI Plus" strategy to upgrade traditional industries and accelerate the rollout of intelligent products, including connected new-energy vehicles, AI-enabled phones, computers and humanoid robots. A monitoring, risk-warning and emergency-response framework will be set up to ensure AI remains controllable, and officials responsible for major losses from reckless investment will face accountability. Additionally, the document promotes orderly growth of the low-altitude economy—civilian drones, air taxis and related services—under safety oversight.