Kuaishou Technology may spin off King AI in bid to capture AI market frenzy

Every Wednesday and Friday, TechNode’s Briefing newsletter delivers a roundup of the most important news in China tech, straight to your inbox. Your support helps TechNode continue to provide credible, on-the-ground journalism and industry insights about the Chinese tech industry. Chinese tech company Kuaishou Technology is considering spinning off its AI video-generation unit Kling AI for a separate initial public offering next year, according to market sources, as investor enthusiasm surrounding AI continues to fuel demand for AI-related stocks. The company has reportedly begun discussions with potential investors over a pre-IPO fundraising round for Kling AI, which is said to be valued at around $20 billion. Kuaishou has not yet commented on the matter. Launched in 2024, Kling is Kuaishou’s flagship AI model for video generation and quickly gained attention in China’s fast-growing generative AI sector. The model takes a technical approach similar to OpenAI’s Sora, while adding in-house developments, and is generally considered to perform at a comparable level. [TechWeb, in Chinese]

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