China's market for artificial intelligence powered virtual characters designed to simulate lifelike human appearance, speech and interaction is anticipated to surpass 25 billion yuan ($3.5 billion) by 2029, according to discussions at an AI digital human forum in Wuxi, East China's Jiangsu province, over the weekend.

Last year, China's AI digital human market reached 4.12 billion yuan, reflecting an 85.3 percent year-on-year increase.

The figures discussed were revealed in a June report from market intelligence provider International Data Corporation.

The forum was held on the sidelines of the China International Intelligent Communication Forum 2025, co-hosted by China Media Group and the Jiangsu provincial government.

Wuxi, known for its deep-rooted commercial heritage, has built a robust foundation in the AI industry, supported by favorable policies and a comprehensive industrial ecosystem.

During the forum, the Yangtze River Delta AI Digital Human Industry Alliance was launched to integrate resources across the region and facilitate the cross-regional flow of technology, talent and projects.

Several initiatives were also introduced to support development in the AI industry, including the Yangtze River Delta AIGC Industry-Education Integration Community, the AI Language Service Internship and Training Base, and the Digital Human Application (Wuxi) Joint Laboratory.

A Yangtze River Delta base for a global language service platform — jointly developed by CCTV.com, Beijing Foreign Studies University and Jiangnan University — was also established during the forum.

The base aims to leverage the region's strengths and integrate resources from universities and enterprises to create a comprehensive AI-powered language service hub that supports international communication and cultural exchange.

Oleg Kopylov, deputy secretary-general of the Shanghai Cooperation Organization, said AI technology is becoming a catalyst for a new wave of technological revolution and digital transformation, significantly influencing socioeconomic development and the future of human civilization.

Jiang Feng, mayor of Wuxi, said intelligent communication can serve as a bridge for civilizations.

"Wuxi will continue to enhance its international communication ecosystem, share development opportunities, promote mutually beneficial cooperation, and strive to become a global model city for intelligent communication," Jiang said.

During the event, Wuxi also unveiled its major international communication initiatives for 2025 and 2026, including the Wuxi International Communication Alliance, the IP Wuxi Platform, a city documentary project, and a plan to promote Chinese folk music. An upgraded "Charming Wuxi" English website was also launched.

CCTV.com, the official website of State broadcaster China Central Television, presented successful case studies of international communication, illustrating how digital tools and creative storytelling can boost global engagement. China Daily Website, the official website of the China Daily newspaper group, and the Wuxi International Communication Integrated Media Center also launched the#MyRobotBuddy social media campaign, inviting media accounts to showcase how embodied robots are used in various settings across China.