On May 21, according to a Goldman Sachs research report, Baidu (09888.HK) saw accelerated revenue growth in its cloud business in the first quarter of this year, particularly in GPU cloud services. Goldman Sachs anticipates that Baidu's AI-driven business will grow by over 30% annually, benefiting from the solid growth of AI cloud infrastructure (with an annual growth rate of approximately over 50%). It is expected that by the end of 2026, the contribution from AI-driven business will surpass that of other traditional businesses. Baidu's management stated during an analyst meeting that the goal is to have the cloud business grow faster than the market and major peers in the coming quarters. The company has observed that token usage is shifting from training to inference, which will help Baidu Cloud expand its customer base. Goldman Sachs quoted management as saying that the current capabilities of the ERNIE Bot model are still insufficient, and future R&D will focus on enhancing model capabilities, prioritizing the development of ERNIE Bot to drive MaaS (Model as a Service) revenue. In the medium term, Goldman Sachs expects Baidu's GPU cloud business to target a gross margin of 35% to 40%, while traditional CPU and memory services have a gross margin of 25% to 30%. Baidu's management plans to have AI-driven business account for over 50% of total revenue and reduce the holding company discount through rapid growth in core cloud and chip revenue.