(Jan 2): Baidu Inc’s artificial-intelligence (AI) chip unit has confidentially filed for a Hong Kong initial public offering (IPO), kicking off what’s expected to be a busy year for listings by companies backing China’s technological ambitions.
The Beijing-based firm said a carve-out listing would better reflect the value of Kunlunxin and appeal to investors focused on general-purpose AI computing chips and related software and hardware systems. Kunlunxin submitted its application to the Hong Kong Stock Exchange on Friday, Baidu said, adding that details including the size and structure of the IPO haven’t been finalised.
Baidu’s Hong Kong-listed shares rose as much as 9% on Friday to reach their highest price since September 2023. The stock climbed 59% in 2025.
Kunlunxin, which makes chips that power servers in data centres, has been valued at at least US$3 billion ($3.9 billion), people familiar with the matter have said.
Competition around AI between China and the US is heating up, with Beijing intensifying a push to nurture future national champions in the industry — leading Chinese chip firms to line up for IPOs. Shanghai Iluvatar CoreX Semiconductor Co on Tuesday started taking investor orders for a HK$3.7 billion (US$472 million or $609.8 million) Hong Kong IPO. Shares of Shanghai Biren Technology Co, an AI chip designer, jumped 82% in their debut on Friday.
Kunlunxin was created in part to sate Baidu’s enormous appetite for computing power to run its online businesses. It is one of a few Chinese companies capable of designing the powerful accelerators essential for AI operations, and along with firms like Huawei Technologies Co and Cambricon Technologies Corp, is likely to be central to Beijing’s effort to wean the country off US technology such as Nvidia Corp chips.
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Baidu on Friday said Kunlunxin’s separate listing would raise its profile among customers, suppliers and potential partners, allowing the unit to solicit more business and tap equity and debt capital markets for more funding.
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