The other “dragons”—Yitu, SenseTime, and Megvii—are in varying stages of their IPO processes.

EqualOcean, aggregate net loss, 74.7% of patents related to AI

Cloudwalk Technology is set to be the first of China’s “AI dragons” to be listed on a stock exchange. Its IPO application has been accepted by the Shanghai Stock Exchange, according to EqualOcean.

Cloudwalk submitted its prospectus to the Shanghai Stock Exchange in November 2020 and had eyes on launching an IPO by the end of last year. It intends to raise RMB 3.75 billion (USD 579 million) by going public on the Star Market. The company has a valuation of RMB 25 billion (USD 3.9 billion).

Cloudwalk, Yitu, SenseTime, and Megvii are collectively called China’s four “AI dragons.” Unlike the latter three, which were founded as private enterprises, Cloudwalk was incubated at the Chinese Academy of Sciences (CAS). Its founder and president, Zhou Xi, was a professor at CAS’ Chongqing Institute of Green and Intelligent Technology between 2011 and 2015, before he formed Cloudwalk.

During his tenure at CAS, Zhou led a team of researchers who developed new products like AI-driven image recognition hardware, as well as algorithms that could sift through and establish correlations within troves of data that contain tens of millions of faces. In 2014, Cloudwalk developed China’s first payment system that utilizes facial recognition, drawing inspiration from a similar setup formulated by a company in Finland.

Cloudwalk has numerous state-back funds as investors, including funds based in Fujian, Guangzhou, and Beijing. The company counts state-owned enterprises as clients. The Bank of China, Agricultural Bank, China Construction Bank, and Bank of Communications all use its facial recognition system. Cloudwalk’s hardware is also deployed in airports, train stations, and other public security contexts.

Like many companies that develop cutting-edge AI applications, Cloudwalk is not profitable. According to Cloudwalk’s prospectus, the company ran an aggregate net loss of RMB 2.58 billion, or USD 398 million, in the three years from 2018 to 2020. Its financial state as well as regulatory adjustments related to personal data may be obstacles on the road to going public. Global chip shortages may also slow down client adoption of AI and computer vision products.

The other three “AI dragons” of China are in different stages of seeking ticker codes. Yitu submitted an IPO application to be listed on Shenzhen’s Nasdaq-style ChiNext board, but suspended the process in March. Alibaba-backed Megvii let its application with the Hong Kong Stock Exchange lapse in 2020, and is waiting for processing that may lead to a ticker on the ChiNext board. Computer vision developer SenseTime bumped back its IPO plans after it was placed on the United States Department of Commerce’s Entity List in October 2019, but is reportedly seeking a dual listing in mainland China and Hong Kong.

Artificial intelligence and its applications are a core component of the Chinese government’s drive to develop a high-tech nation. Even though the country’s researchers had a late start in developing homegrown AI solutions, Chinese entities now hold 74.7% of patents related to AI, according to the China Artificial Intelligence Development Report 2020.


Japan travel news, japan travel guides, japan holiday destinations and japan reviews

LATEST NEWS

NEWS RELATED

Fintech firm Behalf raises USD 100 million to expand B2B ‘buy now, pay later’ feature

Behalf’s solution provides B2B merchants with consumer-focused “buy now, pay later” offerings along with other capabilities tailored to B2B commerce.

Read more: Fintech firm Behalf raises USD 100 million to expand B2B ‘buy now, pay later’ feature

DJI’s autonomous vehicle ambitions have yet to materialize

The Chinese drone maker is making a second push into an increasingly narrow lane packed with the country’s other ambitious autonomous vehicle makers.

Read more: DJI’s autonomous vehicle ambitions have yet to materialize

Microsoft may invest in SoftBank-backed Oyo at USD 9 billion valuation: Report

Oyo’s valuation had dropped to USD 8 billion in mid-2020 amid the COVID-19 pandemic, from USD 10 billion in November 2019.

Read more: Microsoft may invest in SoftBank-backed Oyo at USD 9 billion valuation: Report

Competition Commission of India to tighten its grip on digital companies

CCI has been quite active in investigating internet companies that are allegedly exploiting their dominant position in the market.

Read more: Competition Commission of India to tighten its grip on digital companies

Hefei’s risky investment strategy paid off handsomely, here’s how the city did it

Hefei’s playbook involves active scouting, fiscal benefits, and a steady stream of incentives for workers to entice major tech companies.

Read more: Hefei’s risky investment strategy paid off handsomely, here’s how the city did it

Hefei grew its GDP 2,600% in 20 years to become one of China’s fastest-growing cities

The bold strategy to invest in three companies led to explosive growth in Hefei’s jobs, GDP, and return on investment.

Read more: Hefei grew its GDP 2,600% in 20 years to become one of China’s fastest-growing cities

GoodsMart raises USD 3.6 million to grow contactless grocery delivery platform

The startup works with different suppliers, giving users the option to order groceries, medicines, and other products.

Read more: GoodsMart raises USD 3.6 million to grow contactless grocery delivery platform

Chip designer Yusur completes Series A financing to hone DPU tech

Yusur designs DPUs that offer low-latency, decentralized processing across cloud networks.

Read more: Chip designer Yusur completes Series A financing to hone DPU tech

Pakistan’s Dastgyr raises USD 3.5 million seed for its B2B e-commerce marketplace

Myanmar rights groups file complaint to OECD against Telenor over ‘irresponsible’ sale of business

Taboola to buy US ad solutions firm Connexity for USD 800 million

Checks get fatter for India’s early-stage startups

Krafton expects IPO success as big investors show interest

ByteDance searches for new monetization channels | China Venture Roundup Volume 45

Zomato makes steller debut on bourses, market cap hits INR 1 trillion

Byju’s buys US-based edtech startup Epic for USD 500 million

OTHER NEWS