Cotte Intelligent takes the lead in implementing industrial-grade AGI, upgrading "Made in China" to "Intelligently Made in China"
In the past few years, artificial intelligence has undergone an extremely radical process of expansion and iteration. Almost the entire industry has been urgently asking: Where will it go next? However, one thing is becoming increasingly clear: we are about to enter the era of Artificial General Intelligence (AGI). Regarding the depiction and vision of AGI, technology giants have different focuses, but all of them demonstrate their great ambition to bet on AGI. Last year, the secret agreement between OpenAI and Microsoft was exposed, in which the goal of "AGI" was priced at $100 billion.
In any case, the ultimate and ideal super artificial intelligence will not suddenly emerge, but will naturally penetrate into all industries and unfold gradually, becoming more powerful over time. With the iterative upgrading of architectures, data, and training methods, artificial intelligence systems are developing in a very "pragmatic" way and making breakthroughs in specific fields through in - depth exploration.
The "application - oriented" Chinese market is becoming an important observation sample for the practical implementation of artificial intelligence and its in - depth integration into industries. Perhaps the ambition for AGI and solid enterprise applications are not two completely different paths? In Qingdao, Shandong, Kute Smart, an enterprise that has been deeply involved in intelligent manufacturing for more than 20 years, has already found the answer to this question.
PART 1: The First Glimmer of Dawn
Against the backdrop of AI reshaping the global industrial landscape, almost all industries have been caught up in the same accelerating trend, without exception.
The manufacturing industry, which was once in a transformation dilemma, has shown immeasurable future potential driven by artificial intelligence. According to data released by the Ministry of Industry and Information Technology, the total scale of China's intelligent manufacturing industry has exceeded 4.5 trillion yuan, marking that the digital transformation of China's manufacturing industry has entered an acceleration period.
Zhang Daili, the 70 - year - old founder of Qingdao Kute Smart Co., Ltd., has witnessed the industry changes over the decades. He led a clothing personalized intelligent customization enterprise to gradually grow and then transformed it into a C2M industrial Internet AI technology intelligent enterprise, actively participating in the digital and intelligent wave. First, as a strategic partner of Huawei Cloud, it deeply integrated into Huawei's digital and intelligent ecosystem. After years of technological investment and R & D, it finally achieved a revolutionary breakthrough.
Kute Smart's scientific research application started from the clothing personalized intelligent customization field as an industrial test - bed. Through more than 20 years of technological refinement and data accumulation, it deeply integrated AI into the entire clothing production process and gradually expanded its technological capabilities to all clothing categories. Finally, in 2025, it developed the industry - level general artificial intelligence, Kute AGI.
To truly implement AGI technology in all scenarios of enterprise operation and make it a real industry - level general artificial intelligence, Kute Smart pioneered a new paradigm for enterprise AI native applications. Its core consists of three synergistic industrial applications: the digital and intelligent enterprise - level operating system, the intelligent enterprise, and the intelligent enterprise cluster. These three form a closed - loop evolving whole, helping enterprises fully enter a new stage of fine - management and self - governance evolution driven by AI. Among them, the digital and intelligent enterprise - level operating system is the enterprise's full - domain intelligent hub, which consists of three AI native core products:
Firstly, Kuxiaojiang (Demand - side AI Designer). Its core value is to break through the information barrier between customers' customization needs and the production process, realizing the automatic transfer of data from customers' creativity to workshop production without manual translation. For example, when a customer expresses "I want such clothes" through pictures, voice, or text, it can instantly analyze the needs and automatically generate patterns, process sheets, and material lists, truly achieving what you see is what you get, and directly sending the needs to the production end with one click.
Secondly, Kuxiaoyi (Operation - side AI Operation Assistant). Its core function is to convert the strategies generated by AI into specific tasks in real - time, monitor the progress of each link throughout the process, and report to managers in real - time to ensure the efficient progress of tasks. It features a "conversation is work" mode, which can instantly respond to data, locate problems, recommend solutions, automatically assign tasks, follow up on progress, and organize meetings, promoting the transformation of management from "people looking for data" to "data helping people", making complex management simple and efficient.
Thirdly, Kuxiaozhi (Governance - side AI Organizational Architect). It dynamically evaluates and optimizes enterprise systems and processes based on task execution results, constructing a high - speed closed - loop of "strategy - plan - execution - feedback" to help enterprises achieve agile trial - and - error and continuous iteration. It supports natural - language development and zero - code application generation, allowing business personnel to directly participate in innovation practices. The system continuously evolves with use, and the organization becomes more agile with iteration, disassembling the heavy IT "monolith" into flexible and assemblable intelligent "building blocks".
These three AI native core products cooperate with each other to build a flexible manufacturing intelligent hub covering the entire "demand - operation - governance" link, converting Kute AGI's technological capabilities into tools that enterprises can directly use, achieving the complete implementation of "technology - product - value", enabling enterprises of different scales and in different scenarios to quickly enjoy the transformation dividends brought by AGI.
In fact, many enterprises have been testing the waters of digitalization in recent years, such as implementing MES, trying ERP, and installing sensors... However, there are not many cases where artificial intelligence can be truly embedded in the entire production and management chain to achieve intelligent drive. It shows the phased characteristic of "emphasizing technology while neglecting application", and the proportion of applications that can truly be implemented to generate actual value is extremely low, making it impossible to achieve the goal of true "flexible manufacturing".
Kute Smart's practice proves that the key to achieving this transformation lies in basing on industrial reality.
In the past few years, Kute Smart took the customized business C2M as the core scenario and its own factory with thousands of employees as the practical test - bed, comprehensively integrating the real operation scenarios of enterprise production, supply, sales, personnel, finance, and materials into it, and constructing a credible and controllable PDCA R & D closed - loop. This provides rich real - scenario support for technological R & D, helping scientific research to make small and fast steps and rapid iterations, and laying a solid foundation for the implementation of the digital and intelligent enterprise - level operating system and AGI technology.
This breaks the inherent perception that "general artificial intelligence is out of reach": as long as enterprises focus on in - depth exploration in their own fields and convert data resources into assets, they can make AI technology play a real role.
While people are still arguing about the definition of AGI, Kute Smart has already developed the industry - level AGI, implemented AGI in actual industrial operations, and achieved practical results. According to Kute Smart's data, with the support of AGI, the intelligent manufacturing management cost has been reduced by more than 50%, and the overall efficiency has been improved by more than 20%.
Beyond its practical nature, Kute AGI also shows a high - speed development trend. Based on a deep understanding of the industry, Kute Smart realizes that AGI will also completely break the shackles of enterprise organization and management.
PART 2: Breaking the Shackles
In addition to the digital and intelligent enterprise - level operating system composed of three AI native core products, Kute AGI also includes intelligent enterprises and intelligent enterprise clusters. The latter two originate from Kute Smart's new concept of enterprise organization and development models.
In the view of Kute Smart, "the native application of artificial intelligence has reached a critical moment." In the past, "chips accounted for 100, models accounted for 10, and applications accounted for 1, which was the primary stage called 'intelligent emergence'. Now, applications account for 100, models account for 10, and chips account for 1, which is the stage of 'effect emergence'." Zhang Daili, the founder of Kute Smart, said. The key reason why Kute AGI can achieve "effect emergence" is that its native application has three core breakthroughs: completely breaking through the shackles of data governance, completely breaking through the shackles of organizational change, and completely breaking through the shackles of traditional ERP.
Zhang Daili, the founder of Qingdao Kute Smart Co., Ltd.
Kute Smart's goal is not just to build a smarter factory, but to create a new supply - chain infrastructure, an intelligent cluster network, a decentralized, and highly flexible industrial ecosystem. In other words, Kute Smart's ambition is not only to optimize production but to reshape the industrial structure.
Starting from the clothing industry, Zhang Daili has witnessed the systematic shocks the industry has suffered in the past few decades: fragmented demand, shortened product life cycles, and compressed delivery windows. The underlying logic of "supply - determining - demand" can no longer keep up with the times, and "flexible manufacturing" is not just "icing on the cake"; it even determines the survival of some enterprises.
If the competition in the previous era was about production capacity and channels, then now, the market has made it very clear: those who can quickly convert customized demands into deliveries will survive. This is the real meaning of the "demand - supply era". More than 20 years ago, the response model Zhang Daili came up with was C2M (Customer to Manufacturer), enabling enterprises to meet consumers' customized demands through large - scale production.
The subsequent market trends have confirmed Zhang Daili's prediction. When consumers prefer personalization and fast delivery, and when the supply chain is under great pressure, inventory costs are high, and there are ceilings for both cost and efficiency, this "demand - supply" - oriented solution has gradually become the mainstream. According to a report by the China Investment Industry Research Institute, the global flexible manufacturing market size may reach 180 million yuan in 2030, and the Chinese market accounts for 35% of it.
To gain an edge in the new market wave, Kute Smart actively invested in digital and intelligent transformation, gradually deploying cutting - edge technologies from production and manufacturing, supply chain to digital operation. With the evolution of technologies such as big data, cloud computing, and artificial intelligence, Kute Smart, which has been reborn, has finally entered the era of AGI.
Now, when you visit Kute Smart's factory test - bed, you can see that there is no factory director, no workshop supervisor, no team leader, and no approval process. The entire operation is completely carried out by artificial intelligence systems. As described by Zhang Yunlan, the chairperson of Kute Smart, different production elements are like building blocks, and what Kute AGI does is to naturally combine these building blocks to form an orderly and efficient enterprise.
It doesn't just stay at the conceptual level but has been proven in the factory test - bed, real orders, and production lines; it doesn't rely on ideal conditions but forms multiple mutually - coordinated closed - loops; it has a replicable and expandable mechanism and is steadily moving towards the goal of an intelligent enterprise cluster... Kute Smart's current layout has proven that it has the opportunity to solve the core challenges in the intelligent era.
PART 3: Rooted in Belief
What has supported Kute Smart to reach this stage is a very simple and pure original intention.
In Zhang Daili's view, enterprises are the core entities for creating social value, and the ultimate mission of technology is to create value and reconstruct productivity. "If technology is not born for value, its meaning of existence is out of the question."
The core concept of value creation runs through the entire R & D process of Kute AGI. For example, it pursues extreme simplicity, making the intelligent agent easy to operate and use, suitable for every staff member; it tries to reduce costs as much as possible so that more enterprises can reuse it. Cui Peng, an associate professor at the Department of Computer Science and Technology of Tsinghua University, pointed out that "from a general perspective, the transition from AI to AGI is a gradual process. The core indicator of this gradual process is the proportion of migration costs to the original system development costs." Currently, Kute AGI has basically achieved zero migration costs.
Cui Peng, an associate professor at the Department of Computer Science and Technology of Tsinghua University
Kute Smart wants to provide opportunities for the industry and more practitioners to participate in transformation and create value. After all, the industry - wide and general intelligentization has never been a self - indulgent pursuit of technology but should return to the real market economic environment.
In the clothing industry, an obvious industry signal is that a large number of global clothing brands that pursue personalization and flexible and rapid iteration have once again turned their attention to China. Currently, Kute Smart has won cooperation orders from multiple clothing industry customers and, with its system of "one pattern for one person, one style for one piece, one flow for one item, and delivery in 7 working days", can undertake more enterprises' high - customization needs. Kute Smart's large - scale goal is also steadily advancing. Its vision is to build 100 intelligent enterprise clusters and create a real high - level intelligent demand - supply supply chain system serving 500,000 people.
Real transformation does not only exist in the production line but will also extend to the commercial front - end along the value chain. In April this year, Kute Smart and the South Korean apM Group jointly opened the first apM CUBE store in China in Shanghai Xintiandi. At the same time, Kute Smart also introduced the South Korean fashion brand KWL. This also means that the AI - native supply chain is forcing changes in the retail structure. The fashion inspiration at the front - end, consumers' needs, and the back - end flexible manufacturing can be linked in real - time. The relationship between brands and factories is no longer a simple connection but a common operation under the same AGI logic.
△ Zhang Daili (left), the founder of Kute Smart, and Shi Zhuheng (right), the chairman of the South Korean apM Group
PART 4: The Future is Here
At the current time point, Kute Smart is in the right place at the right time.
As Zhang Yunlan, the chairperson of Kute Smart, said, many people have asked her why Kute Smart can achieve this. "In terms of money, you are not the richest; in terms of technology, how can you be more knowledgeable than Tsinghua, Alibaba, or Tencent? I thought about it and realized that it is because of our passion, cognition, ability, available resources, and a bit of luck that have brought us to where we are today."
With favorable timing, geographical location, and human harmony, Kute Smart has now reached the window period jointly catalyzed by