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Market Chatter: Baidu CFO Says AI Investments Could Soon Match Search Profitability

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Baidu's (HKG:9888) AI-related businesses could soon achieve profit margins comparable to those of its legacy search operations, Bloomberg News reported, citing Chief Financial Officer Henry He.

AI-driven revenue, including cloud computing and applications, now accounts for more than half of Baidu's sales, according to the report.

He expects the contribution to continue growing, with stronger demand for cloud services and AI chips supporting margins, the report added.

Baidu's shares fell nearly 3% in recent trade in Hong Kong.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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