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Tencent Introduces T1 Reasoning Model, Claims Edge In AI Over DeepSeek

by THEFUTURE.TEAM

March 24, 2025

Tencent announced on Friday the launch of its official T1 reasoning model, promising faster response times and enhanced capabilities, according to a company statement on WeChat.

New Reasoning Model

Tencent’s new reasoning model has achieved industry-leading results in public benchmark tests across Chinese and English knowledge, competition-level mathematics, and logical reasoning. The company emphasized that T1 maintains clear content logic, with neatly structured text and an exceptionally low hallucination rate.

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The T1 model is based on Tencent’s Turbo S language model, offering instant responses, fast wording, and the ability to process long texts effectively. Tencent also noted that the official version of T1 demonstrates improved reasoning capabilities compared to its preview version. The company claimed that T1 outperforms DeepSeek’s R1 model in certain knowledge and reasoning benchmarks.

AI Investments

Tencent’s AI ambitions have been supported by a significant increase in capital expenditure. The company announced plans to ramp up investments in AI development and infrastructure in 2025. Its capital expenditures for 2024 amounted to $10.7 billion, a significant rise from $3.4 billion in 2023, representing 12% of total revenue. In Q4 of 2024 alone, Tencent invested $5.4 billion in AI initiatives, reinforcing its strategy of AI-driven growth.

Tencent’s earnings statement highlighted its recent efforts to reorganize AI teams to sharpen focus on fast product innovation and deep model research. The company has also increased its R&D and marketing investments for AI-native products.

AI Competition

Tencent’s increased focus on AI comes amid rising competition in China’s AI landscape. DeepSeek’s introduction of its R1 model has drawn significant attention, positioning it as a rival to OpenAI’s reasoning model. This competition triggered a sell-off in global equities, with Western tech giants seeing the most significant losses.

In addition to Tencent, other major Chinese players are also making significant investments in AI. Last month, DeepSeek unveiled its R1 model, which competes directly with OpenAI’s models. Furthermore, Alibaba announced plans to invest at least $52.6 billion in cloud computing and AI infrastructure over the next three years. TikTok’s parent company, ByteDance, is investing over $20.7 billion in AI development and computing power for 2025.

Net Worth

As of March 23, 2025, Ma Huateng, the chairman and CEO of Tencent, holds a real-time net worth of $54.1 billion.

With these strategic moves, Tencent aims to further solidify its position as a leader in the AI race, challenging both domestic and international competitors.

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Price Shifts: Temu And Shein React To Upcoming Tariffs

by News Editor

April 27, 2025

The online shopping world experienced a jolt as Temu and Shein, popular e-commerce platforms, recently adjusted their prices due to impending tariff changes. These platforms, known for offering budget-friendly options, have echoed with changes that might surprise many shoppers.

What Sparked the Price Hike?

Effective next week, a significant tariff will impact goods imported from China. This tariff follows the expiration of the “de minimis” exemption on May 2. This exemption previously allowed American shoppers to skip tariffs on items valued under $800. The new tariff demands a 120% fee or a flat $100 per postal item, increasing to $200 come June 1.

For instance, Temu’s two patio chairs jumped from $61.72 to $70.17 overnight, while a bathing suit on Shein saw a 91% surge in price. Yet, the price landscape isn’t consistently upward; a smart ring on Temu dropped by $3.

Implications for Consumers

Due to economic shifts and evolving trade rules, both Shein and Temu emphasized their efforts to maintain quality and affordability despite costlier operational expenses. They advised consumers to shop before April 25 to dodge the upcoming hikes, though it’s uncertain if this timing affects the 120% tariff applicability.

Impact on Lower-Income Households

The discontinuation of the “de minimis” exemption is poised to hit lower-income families hardest. Reports indicate these households spend a higher income proportion on apparel, and this change could burden them further.

Further economic insights highlight how industries adjust to challenges, such as in the face of AI-driven changes, potentially offsetting emissions concerns with economic gains.

For buyers and businesses alike, the shifting sands of trade laws call for adaptability and forethought.