Ant Group is testing an AI agent within its Alipay application to automate financial and lifestyle tasks, according to Bloomberg.

The assistant is reportedly named Ah Bao in Chinese. It allows users to execute commands via text or voice to manage complex functions, including buying mutual funds with user authorisation.

The tool will also process routine digital requests such as ordering food, booking transport, and arranging coffee deliveries.

This development escalates the competition with Tencent in the digital market. The rival technology firm is currently testing a prototype AI agent within its WeChat platform.

Both Alipay and WeChat serve over a billion users. The company that successfully automates digital tasks through AI assistants will secure a clear advantage in user retention.

Ant Group has pivoted towards artificial intelligence since regulatory authorities capped its lending operations and halted its planned dual listing in Hong Kong and Shanghai in late 2020.

A 2023 share repurchase proposal valued the firm at US$79 billion. This marks a sharp decline from the US$280 billion valuation it sought during its attempted initial public offering.

The technological transition has required substantial capital. Ant Group reportedly recorded a 79% profit decrease in the final three months of 2025 as it increased spending on large language models and healthcare ventures.

Major Chinese internet platforms, including Alibaba and ByteDance, recently spent billions on cash incentives to market their AI chatbots.

Integrating AI agents into mobile software will further raise operational costs because these services consume massive amounts of computing power.

Featured image credit: Edited by Fintech News Hong Kong, based on image by user17432319 via Magnific