Has AI created a "bubble"? Will power shortages hinder AI development... A special interview with Chen Lan, Partner at Deloitte China.

By Daily Economic News reporter | Zhang Huishui Editor-in-Chief of Economic Daily News | Huang Bowen

On March 24, global attention once again converged on Boao in Hainan.

That morning, the Boao Forum for Asia 2026 Annual Conference released two flagship reports: the《Asian Economic Outlook and Integration Progress 2026 Annual Report》（hereinafter referred to as the《Report》）and the《Asia and the World for Sustainable Development 2026 Annual Report》.

The《Report》points out that, as the global development focus of artificial intelligence shifts from Europe and the United States to Asia, Asian economies are using their massive digital populations, rich application scenarios, and systematic policy support to transform from AI（artificial intelligence）followers into leaders, reshaping the global AI innovation order.

With a global AI boom underway, will the AI industry have already generated an investment “bubble”? Against the backdrop of rising global electricity prices, will AI development face serious obstacles? In response to the above questions, a reporter from the《Daily Economic News》conducted an exclusive interview on-site with Chen Lan, managing partner and director of research at Deloitte China.

Ms. Chen Lan is one of the main interpreters of the Boao Forum for Asia 2026 Annual Conference flagship reports, with more than 20 years of experience in research related to new retail and the digital economy. She has previously been responsible for and participated in research task assignments and delivery with national ministries and commissions such as the Ministry of Industry and Information Technology and the Ministry of Commerce.

Boao Forum for Asia 2026 Annual Conference Image source: provided by the organizers

Current AI applications continue to create tangible value

According to the latest data recently released by the National Data Administration, under the drivers of technological innovation and commercial applications, the scale of the artificial intelligence industry has continued to grow. It is expected that by the end of the “15th Five-Year Plan” period, the scale of China’s AI-related industries will exceed 10 trillion yuan, moving into even broader growth space.

According to statistics from relevant research institutions, in 2025 the global artificial intelligence market size reached $757.58 billion, up 18.7% year over year. As the world’s second-largest economy, China, under the coordinated drivers of policy support, market demand, and technological iteration, is showing a trend of explosive growth in the AI industry scale.

At the same time, some overseas scholars have recently made forecasts about the bursting of an AI bubble, arguing that “if the AI boom collapses, the impact will be widespread even if it is not as severe as the internet bubble.” So has a bubble truly already appeared in the AI sector? When Chen Lan was asked during an exclusive interview with a《Daily Economic News》reporter, she said that although AI companies’ valuations are generally high at present, the deployment of AI technology has already been improving efficiency and reducing costs in a tangible way. For example, Deloitte uses AI Agents to triple audit efficiency, significantly improving data processing and risk identification efficiency, and lowering labor costs for large amounts of repetitive work.

Chen Lan believes that bubbles typically occur when capital investment far exceeds technical deployment capability and revenue expectations become long-term misaligned. But since the applications of AI are still continuously creating tangible value, it cannot be simply concluded that a bubble exists.

The《Report》states that AI development in Asia exhibits structural features of “coexistence of tiers, differentiated paths, and great potential for cooperation.” Among leading representatives, China has formed full-chain maturity and scalable deployment capabilities, while Japan and South Korea focus on high-end manufacturing and industrial automation. Singapore, as an application demonstration model, plays a governance demonstration role and serves as a platform hub; and emerging economies such as India and Indonesia, which are in the category of cultivating potential, take market potential and application scenarios as their breakthrough points.

AI technology applications have moved from point-driven to system-level integration

A research report from Huatai Securities points out that under conflicts involving the U.S., Iran, and others, global oil prices have risen sharply, driving overseas coal prices higher. Based on expectations, in 2026 the center of gravity for the price of 5,500 kcal thermal coal for China’s northern ports will be raised to around 750 yuan per ton.

According to Huatai Securities’ calculations, if the port price of 5,500 kcal thermal coal rises by 50 yuan per ton (including tax), the electricity price on the wholesale side driven by energy price transmission will increase by 2.9%, corresponding to industrial electricity prices rising by 2.0% to 2.2%.

Will the global rise in electricity prices hinder AI development? Chen Lan told a《Daily Economic News》reporter that the shift in the focus of global AI development from Europe and the United States to Asia is mainly due to factors such as talent, industrial policy, and application demand, rather than electricity supply itself. Tight electricity supply does present challenges for large-scale computing power deployment, making stable electricity supply especially important for AI infrastructure.

“Right now, many countries, when facing energy shortages, are also restarting nuclear power generation or laying out new energy sources to ensure stable operation of computing power and data centers. However, AI development relies more on optimizing computing power, data governance, and industrial policy—not a single issue with electricity supply.” Chen Lan said.

In addition, focusing on China’s AI development, this year’s government work report first proposed “building a new form of intelligent economy.” From “AI+” to “building a new form of intelligent economy,” what new signals are released behind it?

Chen Lan told a《Daily Economic News》reporter in an exclusive interview that from the “AI+” proposed in the past few years to the first time this year’s government work report proposed “intelligent economy,” it reflects an upgrade in how the policy authorities position AI. “AI+” emphasizes more the empowerment of AI technology for a single industry or business scenario, while “intelligent economy” is a systematic concept, emphasizing using AI as the core driver to upgrade industries, innovate in business, and optimize social services.

“This releases an important signal: artificial intelligence is moving from the stage of technological breakthroughs to the stage of large-scale applications. Technology deployment has moved from point-driven to system-level integration. In the future, more policies and resources will support the construction of an intelligent economy, not only the promotion of AI technology itself. This also means that artificial intelligence will be integrated more deeply into the production, operations, and service systems of enterprises.” Chen Lan said.

Cover image source: provided by the event organizer