CNN: Chinese humanoid robots have captivated the world, but are they, in essence, big toys?

The recent global attention on Chinese humanoid robots has sparked both fascination and skepticism. At the heart of this phenomenon lies a blend of technological advancement and commercial opportunity, as seen through the experiences of individuals like Ai Lin, who turned his interest into a business venture. The spectacle of these robots performing during last year's Spring Festival Gala captivated millions, but behind the scenes, it also revealed the growing market for such technology. Ai Lin, recognizing the potential, invested $30,000 in his first humanoid robot and began offering rental services. His business model quickly gained traction, with clients able to rent robots for around $443 per day for events, exhibitions, or even weddings. This burgeoning industry highlights the dual nature of humanoid robots—both as entertainment and as tools for practical use.

Despite the allure of these robotic performers, the underlying reality remains complex. While they dazzle audiences with their dance routines and acrobatics, the technology driving them is still far from replacing human labor in factories or households. Ai Lin points out that the current market for humanoid robots is not yet mature, emphasizing that today’s models lack the autonomy needed for real-world applications. They function more like large toys than functional machines capable of independent operation. This gap between perception and reality underscores the challenges facing the industry, despite significant investments from China in advancing humanoid robotics as part of its strategic technological goals.

China's ambitions in this field are substantial. With economic growth slowing and a shrinking workforce, the country sees humanoid robots as a means to boost productivity. Analysts suggest that traditional industrial powerhouses like Germany, Japan, and the United States have long dominated manufacturing capacities, but the rise of humanoid robots could shift this balance. Liyan Dzej Su, a senior analyst at Omdia specializing in artificial intelligence and humanoid robots, notes that the emergence of humanoid robots presents a rare opportunity for the world to look towards China as a leader in the next critical phase of technological development. This perspective is further supported by the fact that Chinese manufacturers already dominate the production and application of industrial robots, significantly outpacing American competitors like Tesla and FigureAI.

The potential scale of this industry is staggering. According to investment bank Morgan Stanley, the global market for humanoid robots could reach over $5 trillion by 2050, with a billion units in use. However, widespread adoption is unlikely before the next decade. In preparation for this future, Beijing has launched a national initiative aimed at accelerating the integration of humanoid robots into daily life, targeting more than 100 high-value application scenarios by the end of this year. This push reflects not just technological ambition but also a strategic effort to position China as a front-runner in the race for dominance in advanced technologies and artificial intelligence.

For entrepreneurs like Ai Lin, the visibility of humanoid robots during major events has been pivotal. The performance during last year's Lunar New Year Gala was a turning point, convincing many that robots will become widely accepted in the future. This belief has inspired numerous entrepreneurs to explore opportunities within this rising sector. Given the high prices of purchasing humanoid robots, ranging from approximately $19,000 for basic models to over $100,000 for advanced ones, renting becomes a more accessible option. Social media platforms in China are filled with influencers offering rental services, indicating a robust demand for these robots in various contexts. State media reports highlight the presence of over 153,000 companies engaged in robot rentals, underscoring the industry's rapid expansion.

As the market continues to evolve, the role of companies like AGIBOT, one of China's leading manufacturers, becomes increasingly significant. Their launch of the SHAREBOT rental company suggests a confident outlook on the market's growth, projecting the rental value to reach $1.5 billion by the end of 2026. Through online platforms, users can now rent humanoid robots starting at around $517 per day, including transportation and a human operator to manage and program the robot. Early results from this service indicate strong user engagement, with notable activity recorded within just three months of its inception. This trend signals a promising trajectory for the humanoid robot rental market, which is poised to play a crucial role in shaping the future of automation and robotics globally.