Yesterday, Beijing-based Zhipu AI made history by becoming the first AI software maker from the Chinese mainland to list on the Hong Kong Stock Exchange. The IPO on January 8, 2026 raised over HK$4.3 billion, with shares jumping as high as HK$130, valuing the company at more than HK$57 billion.
1. World's First Large Model IPO 🏆
Zhipu AI officially set the bar as the world's first public company focused on general artificial intelligence foundation models. Investor demand was through the roof: Hong Kong's public offering was oversubscribed 1,159 times, while the international tranche saw 15.3 times subscription. Eleven cornerstone investors—ranging from core state-owned capital to top insurance and public funds—accounted for 70% of the deal.
2. Low-Price Strategy Sparks Global AI Price War 💥
With an AI coding tool priced at just 20 yuan per month—about one-seventh the cost of major U.S. rivals—Zhipu AI is betting big on affordability. By late 2025, the service had attracted 150,000 paying developers across 184 countries and hit over 100 million yuan in annual recurring revenue.
3. MaaS Growth vs. R&D Losses 📉
The company's Model as a Service platform boasts 2.9 million users and 12,000 enterprise clients, including half of the top 10 internet firms on the Chinese mainland. In H1 2025, MaaS revenue soared 325% year-on-year to 190.9 million yuan, but steep R&D spending led to a net loss of 2.36 billion yuan.
4. Eyeing Global Expansion & Sovereign AI 🌏
Overseas revenue jumped to 11.6% of total by mid-2025, with Southeast Asia driving the charge. Zhipu also heads the International Alliance for Independent Large Model Co-construction, partnering with 10 ASEAN and 10 Belt and Road nations to build 'sovereign AI' infrastructure.
This milestone marks a turning point for AI from the Chinese mainland—watch this space! 🔮
Reference(s):
4 key takeaways: Zhipu becomes first Chinese AI firm to go public
cgtn.com
