China’s AI2 Robotics hopes to go public in 1-2 years

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By Jun Yuan Yong

SINGAPORE (Reuters) -China’s AI2 Robotics aims to list in one to two years, with the humanoid robot maker counting on robust growth in revenue as demand from the industrial sector soars, its chief executive said.

The startup announced on Thursday that it has secured a contract with semiconductor display manufacturer HKC Corporation for more than 1,000 humanoid robots over three years.

CEO Eric Guo estimated the deal is worth $70 million, far more than the $15 million in revenue that the company earned in the first half of this year.

“We’re looking at 10 times growth (in revenue) pretty much every year,” he told Reuters in an interview.

AI2 produces general-purpose robots, called AlphaBot2 that are capable of doing assembly tasks, quality inspections and testing. The upper half is humanoid in form but they move around on six wheels.

They are controlled by its AI foundational model Alpha Brain, which has been trained in-house and is now open-sourced.

“Our key advantage is that our robot has a brain, so we don’t need remote control to get the robot to work in our customer’s place,” said Guo, who was in Singapore to attend a business forum.

Founded in early 2023, AI2 has raised an estimated $140 million from venture capital firms, which Guo said would be enough for 10 years at its current cash burn rate.

He declined to disclose the company’s current valuation but said it is a “unicorn” – a firm with a valuation of more than $1 billion.

AI2 is part of a wave of Chinese firms developing artificial intelligence-powered humanoid robots, expected to be in high demand as the world’s second-largest economy grapples with population decline over the long term.

Rival Chinese robotics firm Unitree is eyeing a $7 billion IPO valuation, sources have said.

(Reporting by Jun Yuan Yong; Editing by Miyoung Kim and Edwina Gibbs)