This substantial investment underscores the surging demand for companies akin to OpenAI and reflects Alibaba’s renewed commitment to expansion initiatives. Notably, this funding round marks the largest ever for a Chinese AI startup.
Joining the ranks of Tencent Holdings Ltd. and other Silicon Valley giants like Microsoft Corp., Alibaba is making significant bets on generative AI technology, notably similar to the technology behind ChatGPT. With Monolith Management as a key backer, Moonshot AI’s valuation soared to approximately $2.5 billion, marking an eightfold increase from its valuation just a year ago.
The roster of investors includes prior backers such as Hongshan, formerly Sequoia China, and the investment arm of Meituan, a leading meal delivery company. Moonshot AI, founded in March 2023, has rapidly gained prominence in the AI sphere, especially following the public debut of its Kimi chatbot in November last year. Its platform, enabling developers to craft AI applications leveraging its model, has further solidified its position as a contender in the AI landscape.
While specific details of the fundraising remain undisclosed, reports from local media outlets, including 36kr, first shed light on the investment. Moonshot AI and Monolith Management have refrained from commenting, while Alibaba representatives have remained silent amidst inquiries.
The infusion of fresh capital reflects the commitment of Moonshot AI’s new CEOs, Joseph Tsai and Eddie Wu, to revitalize the company amid regulatory challenges and economic uncertainties. This funding signals a promising trajectory for Moonshot AI as it aims to drive innovation in the AI sector.
