Baidu Unveils ERNIE 4.5 and Reasoning Model ERNIE X1, Makes ERNIE Bot Free Ahead of Schedule

Rhea-AI Summary

Baidu (NASDAQ: BIDU) has launched two new AI foundation models: ERNIE 4.5 and ERNIE X1, making them freely available to individual users through ERNIE Bot ahead of the planned April 1 schedule. ERNIE 4.5, a native multimodal foundation model, outperforms GPT-4.5 in multiple benchmarks while being priced at just 1% of GPT-4.5's cost. Enterprise pricing starts at RMB 0.004 per thousand tokens for input and RMB 0.016 for output.

ERNIE X1, a deep-thinking reasoning model with multimodal capabilities, delivers performance comparable to DeepSeek R1 at half the price, with enterprise rates starting at RMB 0.002 per thousand tokens for input and RMB 0.008 for output. Both models will be integrated into Baidu's ecosystem, including Baidu Search and the Wenxiaoyan app.

Positive

• Early release of free access to ERNIE Bot for individual users ahead of schedule
• ERNIE 4.5 outperforms GPT-4.5 while being 99% cheaper
• Competitive pricing strategy with ERNIE X1 offering similar performance to DeepSeek R1 at half the cost
• Expansion of product ecosystem through integration with Baidu Search and other applications

Negative

• Significant ongoing investment required in AI, data centers, and cloud infrastructure

Insights

Financial Analyst

Baidu's launch of ERNIE 4.5 and ERNIE X1 models, coupled with making ERNIE Bot free ahead of schedule, represents a significant strategic shift in their AI commercialization approach. The company is adopting an aggressive pricing strategy, offering enterprise access to ERNIE 4.5 at just RMB 0.004 per thousand tokens for input and RMB 0.016 per thousand tokens for output, which they claim is 1% of GPT-4.5's price.

This dual-track approach—free for consumers while maintaining enterprise revenue streams—suggests Baidu is prioritizing rapid market share acquisition over immediate monetization. The accelerated timeline for making these services free (originally planned for April 1) indicates confidence in their enterprise-focused revenue model.

While the financial impact of offering premium AI services for free to individual users creates near-term revenue pressure, the long-term strategy appears focused on ecosystem expansion. By integrating these models into Baidu Search and other products, the company is strengthening its core offerings while building a foundation for future AI-enhanced services.

The enterprise pricing structure remains remarkably competitive compared to Western alternatives, potentially enabling Baidu to capture significant market share in the rapidly growing enterprise AI sector in China and potentially other markets.

Technology Industry Expert

Baidu's simultaneous release of ERNIE 4.5 and ERNIE X1 demonstrates notable technical achievements in native multimodal capabilities and reasoning abilities. ERNIE 4.5 integrates text, images, audio, and video comprehension, while ERNIE X1 offers enhanced reasoning and tool utilization capabilities.

The technical foundations are particularly impressive, with ERNIE 4.5 leveraging five key innovations including "FlashMask" Dynamic Attention Masking and Heterogeneous Multimodal Mixture-of-Experts. Similarly, ERNIE X1 employs Progressive Reinforcement Learning and End-to-End training approaches.

Baidu's claim that ERNIE 4.5 outperforms GPT-4.5 on multiple benchmarks while ERNIE X1 delivers performance comparable to DeepSeek R1 at half the price positions the company as a technological leader in the AI space. The ability to achieve this while offering dramatically lower pricing suggests either significant efficiency advantages or a strategic willingness to operate at lower margins.

The integration of these models into Baidu's product ecosystem creates a powerful differentiation strategy that leverages their existing market presence. By embedding advanced AI capabilities into search and other applications, Baidu is transforming its core products while establishing a technical foundation for future AI-enhanced offerings.

• With the launch of ERNIE 4.5 and ERNIE X1, ERNIE Bot is made free to the public ahead of schedule, and users can access both models free of charge.
• As a deep-thinking reasoning model with multimodal capabilities, ERNIE X1 delivers performance on par with DeepSeek R1 at only half the price.
• ERNIE 4.5 is the company's latest foundation model and native multimodal model, with input and output prices starting as low as RMB 0.004 per thousand tokens and RMB 0.016 per thousand tokens.

BEIJING, March 16, 2025 /PRNewswire/ -- Baidu, Inc. (NASDAQ: BIDU and HKEX: 9888), a leading AI company with strong Internet foundation, today launched its latest foundation models, including native multimodal foundation model ERNIE 4.5 and deep-thinking reasoning model ERNIE X1. Both models are now freely accessible to individual users through ERNIE Bot's official website (https://yiyan.baidu.com/).

The launch of ERNIE 4.5 and ERNIE X1 marks a significant milestone in pushing the boundaries of multimodal and reasoning models, offering advanced capabilities at a more accessible price point. It also underscores Baidu's commitment to continued investment in developing smarter and more powerful next-generation foundation models.

Baidu also plans to progressively integrate both ERNIE 4.5 and X1 into its product ecosystem. This integration will include Baidu Search, the Wenxiaoyan app, and other offerings, delivering a more versatile and enhanced experience to a broader base of individual users.

With the addition of ERNIE 4.5 and ERNIE X1 today, ERNIE Bot is being made free to the public ahead of schedule. Earlier this year, the company announced a plan that ERNIE Bot would become fully-free to individual users starting April 1. For enterprise users and developers, ERNIE 4.5 is now accessible via APIs on Baidu AI Cloud's MaaS platform Qianfan, while ERNIE X1 is set to be available on the platform soon.

ERNIE 4.5: Baidu's New Generation Native Multimodal Foundation Model

ERNIE 4.5 is Baidu's new generation native multimodal foundation model independently developed by the company. It achieves collaborative optimization through joint modeling of multiple modalities, demonstrating exceptional multimodal comprehension capabilities. With refined language skills, it exhibits comprehensive improvements in understanding, generation, reasoning and memory, along with notable enhancements in hallucination prevention, logical reasoning, and coding abilities.

ERNIE 4.5's multimodal capabilities are evident in its ability to integrate and understand text, images, audio, and video content.

ERNIE 4.5 also possesses strong intelligence and contextual awareness, effortlessly understanding internet memes, satirical cartoons, and more.

As Baidu's latest foundation model and native multimodal model, ERNIE 4.5 outperforms GPT-4.5 in multiple benchmarks while priced at just 1% of GPT-4.5.

 

The significant enhancements in ERNIE 4.5's capabilities are attributed to several key technologies including "FlashMask" Dynamic Attention Masking, Heterogeneous Multimodal Mixture-of-Experts, Spatiotemporal Representation Compression, Knowledge-Centric Training Data Construction, Self-feedback Enhanced Post-Training.

ERNIE X1: Baidu's New Deep-Thinking Reasoning Model

ERNIE X1 possesses enhanced capabilities in understanding, planning, reflection, and evolution. As Baidu's first multimodal deep-thinking reasoning model capable of tool use, X1 also excels in Chinese knowledge Q&A, literary creation, manuscript writing, dialogue, logical reasoning, and complex calculations.

Specifically for tool use, X1 supports various tools including advanced search, Q&A on given document, image understanding, AI image generation, code interpreting, webpage reading, TreeMind mapping, Baidu academic search, business information search, and franchise information search.

The comprehensive uplift in ERNIE X1's capabilities is underpinned by key technologies such as the Progressive Reinforcement Learning Method, End-to-End Training Approach Integrating Chains of Thought and Action, and A Unified Multi-Faceted Reward System.

Enterprise users and developers can directly access ERNIE 4.5's API through Baidu AI Cloud's Qianfan Foundation Model Platform, with input prices starting as low as RMB 0.004 per thousand tokens and output prices at RMB 0.016 per thousand tokens.  ERNIE X1 will soon be available on the Qianfan Platform, with input prices as low as RMB 0.002 per thousand tokens and output prices as low as RMB 0.008 per thousand tokens.

2025 is set to be an important year for the development and iteration of large language models and technologies. With the launch of ERNIE 4.5 and ERNIE X1, Baidu will continue to invest in artificial intelligence, data centers and cloud infrastructure to advance our AI capabilities, and develop smarter and more powerful next-generation models.

About Baidu

Founded in 2000, Baidu's mission is to make the complicated world simpler through technology. Baidu is a leading AI company with strong internet foundation, trading on the NASDAQ under "BIDU" and HKEX under "9888." One Baidu ADS represents eight Class A ordinary shares.

Media Contact
intlcomm@baidu.com

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SOURCE Baidu, Inc.

FAQ

What are the pricing details for Baidu's ERNIE 4.5 model (BIDU)?

ERNIE 4.5's enterprise pricing starts at RMB 0.004 per thousand tokens for input and RMB 0.016 per thousand tokens for output, while being free for individual users.

How does ERNIE 4.5's performance compare to GPT-4.5 for BIDU investors?

ERNIE 4.5 outperforms GPT-4.5 in multiple benchmarks while being priced at just 1% of GPT-4.5's cost.

When will Baidu (BIDU) make ERNIE X1 available on the Qianfan Platform?

ERNIE X1 will soon be available on the Qianfan Platform, with input prices at RMB 0.002 per thousand tokens and output at RMB 0.008 per thousand tokens.

What key features does Baidu's ERNIE X1 (BIDU) offer to users?

ERNIE X1 offers enhanced capabilities in understanding, planning, reflection, evolution, and supports various tools including advanced search, Q&A, image understanding, and AI generation.