AI & Enterprise
AI revenue rises but profits still distant; China\'s Z.ai and MiniMax seen in loss until 2030
China\'s AI companies Z.ai and MiniMax could remain loss-making until 2030 despite rapid revenue growth, with heavy spending on computing resources seen weighing on profitability. Macquarie\'s Ellie Jiang cited a severe shortage of computing resources in China, worsened by U.S. restrictions on exports of Nvidia advanced processors. The firms\' annual recurring revenue is rising, but investors are increasingly focused on costs, margins and other valuation metrics beyond ARR.
