Visitors interact with Alibaba's Pepper robot at the 2015 Computing Conference in Hangzhou, capital of East China's Zhejiang Province on October 14, 2015. Photo: CFP

Aliyun, the cloud computing unit of Alibaba Group Holding, on Wednesday officially introduced an artificial intelligence (AI) robot named Ai that's meant to compete with overseas AI players.

The Ai system was developed on the basis of neural networks and social computing, according to a press release Alibaba sent to the Global Times on Wednesday.

The Ai system is good at predicting and understanding human emotions, the company said.

Neural networks are based on animals' central nervous systems, and they are used to mimic functions involving many inputs. Social computing can be defined as the intersection of social behavior and computing systems.

Ai's first big public challenge will be predicting the winner of Hunan TV's reality show I Am a Singer. The show will start at 8 pm on Friday, and it's expected to draw an audience of about 600 million.

"We hope Ai can show its emotional side to the public through challenges in music and TV programs," Min Wanli, Aliyun's chief scientist and "father" of Ai, said in a note sent to the Global Times on Wednesday.

AlphaGo, developed by Google subsidiary DeepMind, beat South Korean professional Go player Lee Sedol in Seoul in March. That was a milestone in the history of AI development, said Min, noting that Ai's challenge in the music program is a similar situation.

There are many uncertainties when it comes to predicting the result in a contest involving seven singers, which will challenge Ai's ability to analyze emotions, said Min.

Ai isn't Alibaba's first AI robot. In June 2015, the company set up a joint venture with Japan's SoftBank Corp and electronics supplier Foxconn Technology to sell its human-like robot Pepper around the world.

The AI industry is promising and domestic Internet giants have realized this, She Shuanglin, an analyst with Beijing-based Analysys International, told the Global Times on Wednesday.

"Also, AI technology is popular in the international market, so it's easier for international investors to develop confidence in the companies' efforts," said She, pointing out that Alibaba and Baidu Inc have both listed on the overseas market.

But most technology giants see the AI industry as a long-term bet, said She.

"It's not easy to get returns in the very short term. It can't be said that AI technology will give an immediate boost to Alibaba's operations."

Some AI technology is already in use in Alibaba's daily business, which helps it be more efficient and cut costs, Lin Renxiang, an AI analyst at Beijing-based iResearch Consulting Group, told the Global Times on Wednesday.

Along with Alibaba, companies like Baidu and Tencent Holdings are also venturing into AI.

For example, in September 2015, Tencent published its first report written by a robot named Dreamwriter. And Baidu announced in December 2015 that its self-driving car had become the first in China to complete a fully autonomous series of tests under a variety of road conditions.

China has nearly 100 start-ups in the AI field, and 65 of them have received investment of 2.91 billion yuan ($448.68 million) in total, according to a report released by iResearch in January.