On October 16, Premier Li Qiang presided over a State Council executive meeting to hear a special report on the progress of the "AI+" initiative, and made systematic deployments from three dimensions: strengthening the foundation, empowering applications, and coordinating development and security.

This is not an ordinary policy tip.

Combined with the Ministry of Industry and Information Technology's previous release of over 1,000 high-value scenarios and the ongoing implementation of the 60 billion yuan National Artificial Intelligence Industry Investment Fund, as well as the quantitative targets for computing power infrastructure in the "15th Five-Year Plan for the Development of the Information and Communication Industry," it is clear that China's AI industry is rapidly shifting from the "building the foundation" stage to the "scenario utilization" stage.

For investors, this means the stock-picking logic must also shift—from "who has computing power" to "who can turn hash power into money."

| 1.2 trillion yuan core industry, the computing power network is rapidly rolling out

Let's first look at the "family assets."

According to the latest data from the Ministry of Industry and Information Technology, the scale of China's core AI industry has surpassed 1.2 trillion yuan, with more than 6,600 AI companies and an intelligent computing power scale of 2,592 EFLOPS.

On the infrastructure level, the national integrated computing power network is rapidly taking shape, forming an "8+10+3" spatial layout—eight major national computing power hubs, ten national computing power clusters, and three computing-power coordinated development zones.

The "15th Five-Year Plan for the Development of the Information and Communication Industry" further clearly states that by 2030, the scale of intelligent computing power will increase more than fivefold compared to 2025.

This State Council executive meeting emphasized "strengthening technological breakthroughs and algorithm innovation, promoting computing-power collaboration, and increasing high-quality data supply," indicating that infrastructure construction is still being intensified, but the focus has shifted from "how much to build" to "how well to use."

|1,000 high-value scenarios paint a "navigation map" for the industry

The most noteworthy signal this time is the State Council Executive Meeting's explicit proposal to "increase efforts in scenario cultivation to better transform AI technology into real productivity."

Just one day before the State Council Executive Meeting, the Ministry of Industry and Information Technology officially released the "AI Empowering New Industrialization High-Value Scenarios" at the 2026 Artificial Intelligence Industry Conference, covering 20 sub-sectors and over 1,000 scenarios including petrochemicals, steel, automotive, and consumer electronics. Using the format of "one industry one graph, one scene one file," it has established a three-tier system of "tackling level, verification level, and promotion level."

Wei Liang, Deputy Director of CAICT, pointed out a key issue: nearly half of the current "AI+" application scenarios are still at the pilot stage and have not achieved large-scale promotion. The significance of this scenario map lies in providing a unified reference for all industries, reducing redundant investment and lowering the cost of trial and error for enterprises.

Yu Xiaohui, Vice Minister of the Ministry of Industry and Information Technology, also made it clear: manufacturing is the main battlefield for AI implementation, and a complete industrial system is a key advantage for China in developing AI.

| 60 billion in national funds + trillion in social capital, ample "ammunition."

Policies are not just empty promises; money is also keeping up.

The 60 billion yuan National Artificial Intelligence Industry Investment Fund has been launched, focusing on AI foundational infrastructure, computing power and chips, core algorithms, and key application scenarios.

Based on disclosed investment trends, the fund has invested in intelligent driving chip company Xinxin Hangtu, AI companies Moon Dark Side Kimi and DeepSeek, showing a clear pattern of "prioritizing the foundation layer and following up at the application layer."

Meanwhile, Alibaba, Tencent, ByteDance, Huawei, and the three major operators are expected to invest over one trillion yuan in intelligent technology over the next three years. A pattern is taking shape with national-level fund guidance, industrial capital following, and social capital participation.

| Tiered and categorized, no "one-size-fits-all" approach

The State Council Executive Meeting also emphasized "coordinating development and security, and implementing policies according to industry levels and categories."

The Ministry of Industry and Information Technology has released the "Artificial Intelligence Security Evaluation Framework for Industry and Information Technology (2026 Edition)," which focuses on general security, application security, and business security, establishing a protection system covering the entire lifecycle of AI R&D, implementation, application, and operation and maintenance.

This is good news for investors: the regulatory direction is "tiered and categorized" rather than "one-size-fits-all," meaning compliance costs are controllable and innovation space will not be stifled.

Jingtai's Perspective | From "Computing Power Belief" to "Scenario Monetization," Investment Logic Must Be Upgraded

Considering the State Council executive meeting's tone and current market conditions, I believe AI investment is entering its second phase:

Phase One (2023-2025): Buy computing power, chips, and infrastructure. The core logic is "whoever has the GPU wins."

Phase Two (2026-): Buy scenarios, buy implementation, buy cash flow. The core logic is "whoever can turn AI into productivity wins."

Specifically, configuration directions:

1. Industrial AI Application Side. The release of 1,000 high-value scenarios means industrial AI has moved from a "concept" to a "replicable." Focus on companies with mature solutions in petrochemicals, steel, automotive, consumer electronics, and other fields that can be scaled up.

2. There is still room for computing power infrastructure. The goal of increasing intelligent computing power fivefold by 2030 compared to 2025 means that computing power construction is far from over. However, to shift from "building more" to "using it well," directions such as public computing power service platforms, computing-electricity collaboration, and computing power interconnection deserve more attention.

3. Data elements and high-quality datasets. The State Council executive meeting clearly stated "increasing the supply of high-quality data," and the Ministry of Industry and Information Technology is also promoting the "modulus-digital resonance" initiative to build industry-wide datasets. Companies with high-quality industry data assets will gain significant competitive advantages in the next phase.

4. AI safety and compliance. Under the tiered and classified regulatory framework, sub-sectors such as AI security evaluation, content review, and model auditing will see deterministic growth in demand.

The core message set at this State Council meeting is clear: China's AI industry does not lack computing power, funds, or policies; what it lacks is the "last mile" scenario implementation.

For investors, rather than continuing to chase higher computing power concept stocks, it is better to turn their attention to companies that can truly transform AI technology into real productivity—they are the biggest beneficiaries of the "AI+" initiative.