Baidu's in-house chip unit Kunlunxin joins wave of Chinese AI firms heading for Hong Kong IPO

Baidu's AI chip division, Kunlunxin, has confidentially filed for an IPO in Hong Kong. The company submitted its application on January 1, setting the stage for a spin-off while keeping Kunlunxin under Baidu's umbrella. According to Reuters, a recent financing round valued the company at around $3 billion. The final size of the offering hasn't been determined yet.

Kunlunxin started as an internal unit back in 2012 and has primarily supplied chips to Baidu. Over the past two years, though, the company has been expanding its customer base beyond its parent company.

The IPO comes as China accelerates efforts to develop homegrown semiconductor alternatives in response to US export restrictions. Kunlunxin isn't alone in eyeing Hong Kong—other Chinese AI and chip companies, including MiniMax, Biren Technology, and OmniVision, are also pursuing listings on the exchange.