ERNIE 4.5 Turbo and ERNIE X1 Turbo: Faster and cheaper AI models from BAIDU

Developer Conference 2025: Baidu sets new standards in the AI ​​world

In a world increasingly shaped by artificial intelligence (AI), Chinese technology giant Baidu offered a compelling glimpse into the future of AI at its annual developer conference, Baidu Create 2025 (April 25, 2025, in Wuhan). With the unveiling of two new, state-of-the-art AI models – ERNIE 4.5 Turbo and ERNIE X1 Turbo – as well as a range of innovative AI applications and developer initiatives, Baidu impressively demonstrated its commitment to the practical application of AI technologies. The company is focusing not only on performance but also on cost-efficiency to make AI accessible to a broader user base.

Suitable for:

• Baidu attacks with its new AI models Ernie 4.5 and Ernie X1: Comparable to Deepseek, but at half price

ERNIE 4.5 Turbo and ERNIE X1 Turbo: A quantum leap in performance and efficiency

The two new models, ERNIE 4.5 Turbo and ERNIE X1 Turbo, represent a significant advancement in the development of AI systems. They were specifically designed to enhance the multimodal capabilities and logical reasoning of AI while drastically reducing operating costs. This combination of improved performance and reduced costs is a crucial factor in establishing AI technologies across various industries and applications.

ERNIE 4.5 Turbo stands out particularly for its ability to deliver faster responses while simultaneously reducing so-called "hallucinations." Hallucinations are a well-known problem with AI models, where they generate false or misleading information. By minimizing this source of error, the reliability and credibility of AI systems are significantly increased. Furthermore, at only 20% of the price of the original ERNIE 4.5 model, ERNIE 4.5 Turbo is extremely cost-effective. This allows companies and developers to leverage AI technologies more extensively without exceeding their budgets.

Specifically, Baidu charges 0.8 RMB (approximately 11 US cents) per million input characters and 3.2 RMB (approximately 44 US cents) per million generated characters for ERNIE 4.5 Turbo. These prices are extremely competitive compared to other AI models on the market and underscore Baidu's commitment to making AI accessible to everyone.

Baidu emphasizes that ERNIE 4.5 Turbo not only operates faster than its predecessors but also makes fewer errors in text generation. Its text and image processing performance is said to be on par with GPT-4.1 and even surpass GPT-40 in some areas. This suggests that Baidu is capable of competing with leading Western AI models and potentially even setting new benchmarks. Particularly noteworthy are the comprehensive improvements in video and photo understanding and text generation. These capabilities are crucial for a wide range of applications, from automatically creating video content to improving the accuracy of image recognition systems.

ERNIE X1 Turbo, on the other hand, is an enhanced deep-thinking reasoning model, available at half the price of ERNIE X1, according to Baidu. This model is specifically designed for complex tasks requiring deep understanding and logical reasoning. It's particularly noteworthy that ERNIE X1 Turbo not only offers improved performance but also costs only 25% of the price of its competitor, DeepSeek R1. This makes it an extremely attractive option for businesses and developers seeking a cost-effective solution for demanding AI applications.

Using ERNIE X1 Turbo costs 1 RMB (approximately 14 US cents) per million input characters and 4 RMB (approximately 55 US cents) per million output characters – a quarter of the cost of DeepSeek R1. This aggressive pricing demonstrates Baidu's readiness to invest in the AI ​​market and strengthen its market position through attractive offerings.

According to Baidu, the ERNIE X1 Turbo outperforms the competing Deepseek-R1 and Deepseek-V3 models in various benchmarks, yet offers a significantly more cost-effective alternative. This suggests that Baidu prioritizes not only price but also performance in its models.

Xinxiang: Multi-agent collaboration for complex tasks

In addition to its new AI models, Baidu also unveiled a range of new AI applications that highlight the practical use of the technology. One of the key innovations is Xinxiang, a multi-agent collaboration app that acts as a “general super-agent” capable of solving complex problems for users. This app enables complete task completion from a single sentence prompt.

Xinxiang can be considered a kind of personal AI assistant capable of understanding, planning, and executing complex tasks. The app utilizes the capabilities of various AI agents, each specializing in specific areas. Through the collaboration of these agents, Xinxiang is able to handle tasks that would be too complex for individual AI systems.

According to Baidu, Xinxiang currently handles 200 different task types across scenarios such as knowledge analysis, travel planning, studying, and office work. This indicates that the app is already capable of performing a wide variety of tasks in different areas. Baidu plans to expand the number of task types to over 100,000 in the future. This would make Xinxiang an even more versatile and powerful tool, capable of handling virtually any task.

Xinxiang is currently available for Android devices, while an iOS version is under review. Availability on multiple platforms is a key factor in reaching a broad user base and promoting app adoption.

Integration of an independent and cross-data source-wide AI platform for all company matters-Image: Xpert.digital

Ki-Gamechanger: The most flexible AI platform-tailor-made solutions that reduce costs, improve their decisions and increase efficiency

Independent AI platform: Integrates all relevant company data sources

• This AI platform interacts with all specific data sources
  • From SAP, Microsoft, Jira, Confluence, Salesforce, Zoom, Dropbox and many other data management systems
• Fast AI integration: tailor-made AI solutions for companies in hours or days instead of months
• Flexible infrastructure: cloud-based or hosting in your own data center (Germany, Europe, free choice of location)

• Highest data security: Use in law firms is the safe evidence
• Use across a wide variety of company data sources
• Choice of your own or various AI models (DE, EU, USA, CN)

Challenges that our AI platform solves

• A lack of accuracy of conventional AI solutions
• Data protection and secure management of sensitive data
• High costs and complexity of individual AI development
• Lack of qualified AI
• Integration of AI into existing IT systems

More about it here:

• AI integration of an independent and cross-data source-wide AI platform for all company matters

Digital People and Cangzhou OS: Innovative Technologies for the Future of Interaction

Baidu also showcased new technologies for highly convincing digital humans with lifelike voices and appearances. These digital avatars, developed through the Huiboxing platform, can be created from short video recordings.

Digital humans have the potential to fundamentally change the way we interact with technology. They can be used in a wide variety of applications, from virtual assistants and customer service representatives to teachers and moderators. By creating lifelike digital avatars capable of speaking and interacting naturally, Baidu is making this technology accessible to a broader user base.

Additionally, Baidu unveiled its first content operating system, “Cangzhou OS,” jointly developed by Baidu Wenku (document library) and Baidu Drive (cloud storage). With Cangzhou OS, Baidu Drive introduced AI Note, considered the first multimodal AI note-taking tool. With just one click, users can quickly create notes, mind maps, and quizzes from educational videos.

Cangzhou OS is an example of how AI can be used to improve the way we create, organize, and consume content. By integrating AI features into its existing products, Baidu is making this technology accessible to its millions of users. The AI ​​Note feature is particularly useful for students and learners, as it helps them quickly and efficiently absorb information from educational videos.

Suitable for:

• Simply explained AI models: Understand the basics of AI, voice models and Reasoning

Support for developers and new initiatives: Baidu promotes the AI ​​ecosystem

At the conference, Baidu also unveiled several initiatives specifically aimed at developers. The “AI Open Initiative” (sai.baidu.com) provides developers with access to traffic and monetization opportunities, as well as access to the latest AI services. This initiative is geared towards AI applications in various forms, including intelligent agents, H5 pages, mini-programs, and standalone apps.

By providing resources and support for developers, Baidu helps to foster the AI ​​ecosystem and accelerate the development of new and innovative AI applications. The AI ​​Open Initiative is an important step towards bridging the gap between AI research and practical application.

Baidu also announced full support for the Model Context Protocol (MCP), described as a “universal socket” for AI, enabling seamless connections between external services and large models through standardized interfaces. Integrating MCP into existing products is intended to provide developers with an effortless experience when accessing and using Baidu's services.

MCP is an important standard that improves the interoperability of AI systems and simplifies the development of AI applications. By supporting MCP, Baidu is helping to create an open and accessible AI ecosystem.

Baidu's vision for the future of AI: Applications are the key to success

Baidu CEO Robin Li emphasized during the conference that the future of AI lies in practical applications, not just advanced models or chips. “Without practical applications, neither advanced chips nor complex models have any value. While there will be a multitude of models, it is the applications that will truly dominate in the future. The real power lies in the applications,” Li said in his keynote address.

This philosophy is reflected in Baidu's current product portfolio. Baidu Wenku's AI features have already attracted 40 million paying subscribers and 97 million monthly active users, while Baidu Drive's AI features serve more than 80 million monthly active users. These figures demonstrate Baidu's ability to successfully integrate AI technologies into its existing products and create added value for its users.

Li's statement underscores an important point in the AI ​​debate. While the development of increasingly powerful models and chips is undoubtedly important, it is ultimately the ability to apply these technologies in practical applications that defines the true value of AI. Baidu has recognized this and is focused on developing AI solutions that make a difference in the real world.

Suitable for:

• The Xiaodu Ai Smart Glasses from Baidu: A new generation of Ki-Smart glasses-with the Ernie Ki model

The impact of Baidu's innovations on the global AI market

Baidu's announcements at the Baidu Create 2025 conference have the potential to fundamentally transform the global AI market. By combining powerful models at significantly reduced costs with a focus on practical applications, the company is pursuing an approach designed to appeal to both end users and developers. This aggressive pricing strategy and use-case focus could further increase the pressure on Western AI companies and permanently alter the landscape of AI technology.

The low prices for ERNIE 4.5 Turbo and ERNIE X1 Turbo could force other AI providers to lower their prices as well, in order to remain competitive. This would make AI technologies accessible to a wider user base and accelerate the development of new and innovative applications.

Furthermore, Baidu's focus on practical applications could lead other AI companies to also concentrate more on developing solutions that offer real-world value. This would shift the focus from pure model development to application-oriented solutions.

It remains to be seen how the AI ​​landscape will develop in the coming years. One thing is certain, however: Baidu's recent announcements have demonstrated its position as a major player in the global AI race and its potential to significantly influence the future of AI. The combination of technological advancement, cost efficiency, and application focus makes Baidu a company to watch. Competition in the AI ​​field is intensifying, and ultimately, the companies that succeed will not only be those that develop powerful models but are also able to transform those models into useful and affordable applications. Baidu appears to be on the right track to achieve precisely that.

☑️ SME support in strategy, consulting, planning and implementation

☑️ Creation or realignment of the AI ​​strategy

☑️ Pioneer Business Development

Konrad Wolfenstein

I would be happy to serve as your personal advisor.

You can contact me by filling out the contact form below or simply call me on +49 7348 4088 965 (Munich) .

I'm looking forward to our joint project.

Xpert.Digital is a hub for industry with a focus on digitalization, mechanical engineering, logistics/intralogistics and photovoltaics.

With our 360° business development solution, we support well-known companies from new business to after sales.

Market intelligence, smarketing, marketing automation, content development, PR, mail campaigns, personalized social media and lead nurturing are part of our digital tools.

You can find out more at: www.xpert.digital - www.xpert.solar - www.xpert.plus