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Xpeng’s robotics unit raises $900 million at $6.3 billion valuation
The first round, led by IDG Capital and backed by Tencent and Alibaba, will fund robotics hardware and software development, physical AI training and mass production facilities.
Chinese automaker Xpeng said its robotics unit raised more than $900 million in its first funding round, valuing the business at more than $6.3 billion, a record for a single private financing in China’s embodied AI sector, according to Reuters.
The round was led by IDG Capital and backed by strategic investors Tencent and Alibaba, with Gaorong Ventures also participating, Xpeng said in a statement.
Xpeng said proceeds will be used to develop robotics hardware and software, train and refine physical AI models, collect high quality data, build end to end mass production facilities, and support global expansion.
The company aims to reach monthly output of 1,000 units of its IRON humanoid robot by the end of the year, with commercial sales and deliveries in China and overseas markets scheduled to begin in 2027.