AI Agent 'Lobster Fever' Grips China Despite Risks

A man wears a lobster hat that represents the OpenClaw logo, an open-source AI assistant at the Baidu headquarters in Beijing on March 11, 2026. (Photo by ADEK BERRY / AFP)
A man wears a lobster hat that represents the OpenClaw logo, an open-source AI assistant at the Baidu headquarters in Beijing on March 11, 2026. (Photo by ADEK BERRY / AFP)
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AI Agent 'Lobster Fever' Grips China Despite Risks

A man wears a lobster hat that represents the OpenClaw logo, an open-source AI assistant at the Baidu headquarters in Beijing on March 11, 2026. (Photo by ADEK BERRY / AFP)
A man wears a lobster hat that represents the OpenClaw logo, an open-source AI assistant at the Baidu headquarters in Beijing on March 11, 2026. (Photo by ADEK BERRY / AFP)

Chinese entrepreneur Frank Gao used to spend long hours running his social media accounts but now outsources the chore to AI agent tool OpenClaw, which is taking the country by storm despite official warnings over cybersecurity.

OpenClaw, created in November by an Austrian coder, differs from bots like ChatGPT because it can execute real-life tasks such as sending emails, organizing files or even booking flight tickets.

"Since January, I've spent hours on the lobster every day," Gao told AFP, referring to OpenClaw's red crustacean mascot. "We're family."

After downloading OpenClaw, users connect it to existing artificial intelligence models of their choice, then give it simple instructions through instant messaging apps, as if to a friend or colleague.

The tool has fascinated tech circles worldwide but particularly in China, gripping tech-savvy companies and individuals keen to keep up with the next big thing in AI.

Hundreds of people queued at tech giant Baidu's Beijing headquarters this week for an OpenClaw event where engineers helped attendees set up their "little lobsters".

It was one of many similar meetups to experiment with the tool, which are drawing crowds from Shanghai to Shenzhen.

Some municipalities, including the eastern cities of Wuxi and Hangzhou, have pledged hundreds of thousands of dollars to support the adoption and development of OpenClaw and other AI agents.

But the lobster fever, as it has been dubbed, has also sparked security concerns.

"What's truly scary about agents like OpenClaw is this: once they have your digital keys, they can theoretically access all the services you've authorized, and can autonomously decide when to activate them," Gao warned.

"The attacker effectively gains a 'master key' to your digital identity," said the engineer, who has named his OpenClaw agent "Q" after his business name QLab.

- 'Use with caution' -

Chinese national cybersecurity authorities and Beijing's ministry of industry and IT have warned of the risks of OpenClaw hacks.

"Use intelligent agents such as 'lobster' with caution," national IT research institute expert Wei Liang advised government agencies, public institutions, companies and individuals in a message on state media.

The mixed signals of rolling out policy incentives while issuing warnings "reflects the authorities' cautious tolerance towards 'lobster fever'," Zhang Yi, founder of tech consultancy iiMedia, told AFP.

Austrian programmer Peter Steinberger, who built OpenClaw to help organize his digital life, was hired last month by ChatGPT maker OpenAI.

Meanwhile, a separate team of coders that made Moltbook, a Reddit-like pseudo social network where OpenClaw agents converse, are joining Meta.

Top Chinese tech companies have also been quick to get involved.

The likes of Tencent, Alibaba, ByteDance and Baidu are offering simplified installation and affordable coding plans to help users who want to host OpenClaw agents on their cloud servers -- seen as safer than downloading it onto a personal computer.

In recent days AI companies big and small have also launched their own competing agent tools, such as ByteDance's ArkClaw, Tencent's WorkBuddy and Zhipu AI's AutoClaw.

The relatively low cost for cloud deployment of OpenClaw in China, subsidised by big tech firms, is one factor behind its popularity, said Gao Rui, a senior product manager at Baidu AI Cloud.

"For most people, it's likely just the price of a cup of coffee... which is why people will probably be keen to give it a try," she told AFP.

- FOMO -

Fear of missing out is also a big driver behind OpenClaw's success in China, said Chen Yunfei, an AI developer who created a popular online guide for using the tool.

"Most Chinese people are quite studious and forward-looking, so when confronted with new things, they might have stronger feelings" of so-called FOMO, he said.

Xie Manrui, a programmer whose latest project is a visualized system for managing OpenClaw agents, said the tool had arrived "at the right moment" to change perceptions in China of what AI can do.

"For many, AI is merely a clever chatbot that talks all the time but cannot act," he said.

Either way, it has piqued the curiosity of many young users.

At the Baidu event in Beijing, 24-year-old college student Zheng Huimin was waiting patiently in line with her friends.

"I'd like to give it a go to see what tasks it can actually help me accomplish," she told AFP.



China Smartphone Sales Drop 13% During 618 Festival as Memory Costs Limit Discounts

A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
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China Smartphone Sales Drop 13% During 618 Festival as Memory Costs Limit Discounts

A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)
A visitor checks a mobile phone near the Huawei logo during the Mobile World Congress in Shanghai, China June 28, 2023. (Reuters)

Smartphone sales in China fell 13% year-on-year during the month-long 618 shopping festival, as brands raised prices to offset higher memory costs, according to data from Counterpoint Research.

Sales declined from May 26 to June 21, with all major Chinese brands except Huawei posting double-digit drops as fewer promotions compared to last year weighed on demand. Honor sales dropped 33%, while Xiaomi's fell 24%.

Higher memory prices amid a rapid ‌build-out of ‌AI infrastructure have pushed up handset costs this year, leaving brands ‌with ⁠less room to ⁠offer steep discounts during the 618 festival, seen as a barometer for the country's booming e-commerce sector.

"Some older and newer models from Chinese smartphone brands were priced higher than comparable models a year earlier, while discounts during this year's 618 festival were generally less aggressive, both in terms of the size of price cuts and the range of products covered," said Ivan Lam, senior analyst at Counterpoint Research.

"Apple's prices ⁠were broadly unchanged, but its discounts were also smaller."

Huawei Technologies ‌led the market with a 21% share, ‌and was the only major brand to record year-on-year growth during the 618 period, with ‌sales rising 19%.

Its Enjoy 90 Pro Max was its best-selling model. ‌The Mate 80 also performed well, supported by promotions.

Apple's sales fell 9% from a year earlier, although the US tech giant climbed to the No. 2 spot after rolling out incentives about a month ahead of June 18.

The discounts offered savings of up ‌to 2,000 yuan ($295) on the iPhone 17 Pro series through a mix of official price cuts, platform subsidies and trade-in ⁠deals.

Still, Apple's sales ⁠remained lower than a year earlier, partly because promotions for the iPhone 16 series were more aggressive during the same period last year.

The 618 festival, which began as a one-day event marking JD.com's founding on June 18, 1998, has since grown into a month-long sales campaign, with major e-commerce platforms competing for consumer spending.

In recent years, however, China's biggest shopping festivals have struggled to generate their former buzz, as extended discount periods and weak consumer sentiment have curbed appetite for non-essential spending, even at reduced prices.

Counterpoint said the 618 festival helped smartphone sales recover in June from the previous month. But it added that the market was likely to enter a seasonal slowdown afterward and post a double-digit decline in shipments for the year.


Microsoft Announces 4,800 Job Cuts as it Revamps Xbox

FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
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Microsoft Announces 4,800 Job Cuts as it Revamps Xbox

FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa
FILED - 30 January 2026, Bavaria, Munich: FILE PHOTO - The Microsoft logo can be seen on the Microsoft Germany headquarters building in Munich. Photo: Sven Hoppe/dpa

Microsoft said Monday it was eliminating about 4,800 jobs -- roughly two percent of its global workforce -- in a sweeping restructuring concentrated in its Xbox gaming divisions, AFP reported.

The cuts include the deepest overhaul in Xbox's history, with approximately 3,200 gaming jobs to be shed over the coming fiscal year, four game studios being spun off or sold, and a fifth entering a review process that could lead to closure, the company said.


UN Chief Warns AI is Developing Faster than Rules Can Keep Up

United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
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UN Chief Warns AI is Developing Faster than Rules Can Keep Up

United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)
United Nations Secretary-General Antonio Guterres delivers a statement during a media conference at the EU summit in Brussels, March 19, 2026. (AP)

The United Nations secretary general on Monday warned that AI is developing faster than anyone can keep up, ‌urging the ‌need for ‌globally ⁠harmonized rules to reduce ⁠potential risks - especially to children, Reuters said.

"A technology that can reshape ⁠economies, transform the world ‌of ‌work, sway ‌elections and tilt ‌the balance of security is being deployed faster than ‌anyone – including the people building it – ⁠can ⁠keep up," Antonio Guterres told delegates at the first-ever government-level global dialogue on AI in Geneva.