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The Lie point symmetries are reported by performing the Lie symmetry analysis to the Ablowitz-Kaup-Newell-Suger (AKNS) equation with time-dependent coefficients. In addition, the optimal system of one-dimensional subalgebras is constructed. Based on this optimal system, several categories of similarity reduction and some new invariant solutions for the equation are obtained, which include power series solutions and travelling and non-traveling wave solutions.