AI is entering a phase of scaled deployment: performance continues to advance, costs are falling rapidly, and enterprise adoption is accelerating—further strengthening the certainty of productivity gains and industrial upgrading.
AI performance on demanding benchmarks continues to improve. In 2023, researchers introduced new benchmarks—MMMU, GPQA, and SWE-bench—to test the limits of advanced AI systems. Just a year later, performance sharply increased: scores rose by 18.8, 48.9, and 67.3 percentage points on MMMU, GPQA, and SWE-bench, respectively. Beyond benchmarks, AI systems made major strides in generating high-quality video, and in some settings, language model agents even outperformed humans in programming tasks with limited time budgets.
AI is increasingly embedded in everyday life. From healthcare to transportation, AI is rapidly moving from the lab to daily life. In 2023, the FDA approved 223 AI-enabled medical devices, up from just six in 2015. On the roads, self-driving cars are no longer experimental: Waymo, one of the largest U.S. operators, provides over 150,000 autonomous rides each week, while Baidu’s affordable Apollo Go robotaxi fleet now serves numerous cities across China.
Business is all in on AI, fueling record investment and usage, as research continues to show strong productivity impacts. In 2024, U.S. private AI investment grew to $109.1 billion—nearly 12 times China’s $9.3 billion and 24 times the U.K.’s $4.5 billion. Generative AI saw particularly strong momentum, attracting $33.9 billion globally in private investment—an 18.7% increase from 2023. AI business usage is also accelerating: 78% of organizations reported using AI in 2024, up from 55% the year before. Meanwhile, a growing body of research confirms that AI boosts productivity and, in most cases, helps narrow skill gaps across the workforce.
The U.S. still leads in producing top AI models—but China is closing the performance gap. In 2024, U.S.-based institutions produced 40 notable AI models, compared to China’s 15 and Europe’s three. While the U.S. maintains its lead in quantity, Chinese models have rapidly closed the quality gap: performance differences on major benchmarks such as MMLU and HumanEval shrank from double digits in 2023 to near parity in 2024. China continues to lead in AI publications and patents. Model development is increasingly global, with notable launches from the Middle East, Latin America, and Southeast Asia.
Read the full report “Artificial Intelligence Index Report 2025” (PDF)
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