Tencent Holdings Ltd.’s Yuanbao AI chatbot passed DeepSeek to become the most downloaded iPhone app in China this week, highlighting the intensifying domestic competition.Most Read from BloombergCuts

Chinese multinational firm Tencent has launched a new AI model to compete with DeepSeek's R1 AI model. DeepSeek launching its AI model had created waves in the global tech industry and had led to a massive rout in tech stocks globally.

The company explained the model is capable of near “instant replies” within a second by doubling the output speed and cutting the delay of the first word out by almost 44%. Different from DeepSeek-R1 and other “reasoning models,