On Sunday, the 15th, at 5 p.m. (local time), a live broadcast featuring Luo Yonghao, a famous entrepreneur and one of China’s most renowned hosts, took place on the live streaming platform of Baidu. He introduced 133 products in 6 hours while showcasing his unique humor. He completed the broadcast perfectly without sweating from the hot lights, drinking water due to thirst, or making verbal mistakes.
What was different from usual was that he was a digital human created by artificial intelligence (AI) rather than an actual person. His ‘twin’ digital human was generated by AI learning Luo Yonghao’s voice and movements, humor, gestures, and more. The person assisting him was also a digital human. The two digital humans introduced products for 6 hours, exchanging breaths and communicating with viewer comments in real time. The products they introduced ranged from food and beverages to everyday items and electronic products, including premium baijiu costing up to 2 million won.
It was difficult to notice that he was created by AI, as his voice and manner of speaking, as well as facial expressions and movements, resembled those of a real person. He adjusted his sitting position by moving the chair and perfectly replicated unique gestures, such as tapping the table with his fingers while speaking. However, while introducing beer, he simulated drinking but did not exhibit swallowing or mouth movements.
The AI wave is sweeping across China’s live commerce market, which is valued at 1 trillion won. Digital humans created by AI have begun selling goods during live broadcasts in place of humans. If live commerce utilizing digital humans becomes active, it is expected that broadcasting can proceed 24 hours a day without human labor input, as long as AI undergoes processes such as motion capture.
◇ Digital humans sell products better than people
According to Baidu, the broadcast titled ‘Luo Yonghao’s show without Luo Yonghao,’ aired the previous day, outperformed his actual live broadcast achievements. The program attracted a cumulative viewership of 13 million, and the total transaction volume (GMV) surpassed 55 million yuan (about 10.4 billion won). Just 26 minutes into the broadcast, the sales amount exceeded that of the ‘real’ Luo Yonghao, who sold products for one hour earlier last month. During the broadcast, AI accessed a total of 13,000 databases and generated product descriptions totaling 97,000 characters, performing more than 8,300 actions.
After the broadcast, Luo Yonghao wrote on Weibo, “To be honest, I was really shocked by the effectiveness of this digital human. The co-host and I (the digital human) exchanged glances and shared jokes similar to yours,” adding, “I felt a bit dazed, but this is reality.”
◇ ‘Explosive growth’ in the live commerce market, accelerated by AI
China’s live commerce market has rapidly expanded due to the COVID-19 pandemic. According to German market research firm ECDB, the market size, which was $61 billion (about 83 trillion won) before the pandemic in 2019, tripled to $180 billion (about 245 trillion won) in 2020 when COVID-19 began to spread. It continued to grow every year, reaching $425 billion (about 564 trillion won) in 2021, $540 billion (about 735 trillion won) in 2022, and $695 billion (about 946 trillion won) in 2023.
Meanwhile, as China’s AI technology rapidly advances, the introduction of digital humans is also increasing. According to Baidu, more than 100,000 digital humans are currently active, and companies are leveraging this to reduce broadcast operating expenses by over 80% while increasing transaction volume by an average of 62%. Industries adopting digital humans include not only shopping but also education and healthcare.
The relevant technology is being led by Baidu, often referred to as the Google of China. According to Chinese economic media outlet China Business News, Baidu launched ‘Baidu Yuxian’ in 2023, offering AI-driven e-commerce services. The application of shopping technologies including digital humans, AI-based recommendations, and supply chain optimization has resulted in a 200% increase in the total transaction volume of Baidu Yuxian in 2024 compared to the previous year. Notably, the total transaction volume of digital human live commerce surged 11-fold during the same period.
China Business News stated, “This live broadcast is a case that proves the commercial viability of digital human technology. However, for most consumers, e-commerce purchasing decisions are still based on trust in ‘real human beings,’ so the long-term success of digital humans depends on continuous technological advancement and changes in consumer usage habits.”