Two Chinese robotics startups have been valued at more than $2.9 billion each in recent funding rounds, according to Bloomberg. AI² Robotics raised approximately $736 million, while Alibaba-backed X Square Robot secured an undisclosed amount at a similar valuation. The deals underscore sustained investor interest in automation despite broader economic headwinds.
The fundraises reflect the growing strategic importance of robotics in China, where companies are racing to develop humanoid and industrial robots. Alibaba's backing of X Square Robot highlights big tech's push into embodied AI. Meanwhile, AI² Robotics' massive haul suggests that early-stage robotics firms can command premium valuations even without public revenue disclosures.
Bloomberg reports that AI² Robotics' round was one of the largest for a Chinese robotics startup this year. The ~$736 million figure places it among the top global deals in the sector. X Square Robot's undisclosed raise implies a similar confidence from investors, though specifics on its backers beyond Alibaba remain sparse. Both companies are now valued in the $2.9 billion range, a marker of high expectations.
This wave of funding could accelerate competition in China's robotics industry, potentially leading to faster product development and deployment in factories and logistics. However, the lack of detailed unit economics or deployment metrics introduces uncertainty. Investors are betting on future demand, but profitability timelines remain unclear.
Bloomberg's report notes that these valuations are based on the close of the rounds, not on public trading, and may not fully reflect market volatility. The undisclosed amount for X Square Robot limits full comparison between the two deals.