Meituan Bets Big on AI with New Department to Transform Local Commerce
Meituan Doubles Down on AI with Major Restructuring
In a significant organizational shakeup, Chinese tech giant Meituan has created a new first-level department focused squarely on artificial intelligence. The move, announced on June 9, underscores the company's determination to harness AI's potential in transforming both its business operations and the broader local commerce sector.
A Department with Equal Stature
The newly formed "AI Transformation" department isn't just another team—it's been elevated to the same status as Meituan's core food delivery and flash sales units. This equal footing in the company hierarchy speaks volumes about how seriously Meituan is taking its AI ambitions.
Mu Yao, the former general manager of Dianping (Meituan's restaurant review platform), will spearhead this critical initiative. His direct reporting line to Core Local Commerce CEO Wang Puzhong, rather than through other executives, further highlights the department's importance.
Why Mu Yao?
Mu brings considerable clout to the role. During his tenure at Dianping, he successfully led major upgrades to the platform's product offerings and content ecosystem, while also expanding its international footprint. His transition from leading Dianping until April 2026 to now heading Meituan's AI push suggests the company wants proven operators—not just technologists—driving its artificial intelligence strategy.
The AI Transformation Game Plan
The department has two clear mandates:
- Developing AI solutions for business clients (AI to B)
- Driving deep AI integration within Meituan's own operations
This dual focus positions Meituan to both improve its existing services and create new revenue streams through AI-powered business solutions. For local merchants across China, this could mean smarter tools for inventory management, dynamic pricing, or customer engagement—all powered by Meituan's growing AI capabilities.
What This Means for China's Tech Landscape
Meituan's move mirrors similar AI-focused reorganizations at other Chinese tech giants, but with a distinct local commerce flavor. As competition heats up in China's tech sector, companies are racing to embed AI deeper into their operations and offerings. Meituan appears determined to lead rather than follow in applying these technologies to everyday local services.
Key Points:
- Meituan elevates AI to first-level department status alongside core businesses
- Former Dianping head Mu Yao to lead new AI Transformation unit
- Focus areas: B2B AI solutions and internal operational transformation
- Move signals Meituan's serious commitment to AI in local commerce
- Reorganization follows broader trend of Chinese tech firms prioritizing AI