Baidu's artificial intelligence chip division, Kunlunxin, is reportedly preparing for an initial public offering in Hong Kong, aiming for a valuation of approximately $5 billion.
The move signals a strategic push to capitalize on the growing demand for domestic AI hardware in China, even as the broader tech sector navigates complex geopolitical headwinds.
According to a report by Handelsblatt, the unit is advancing plans to list on the Hong Kong Stock Exchange.
While Baidu has not officially confirmed the details, the reported valuation suggests investors are placing a premium on the company's ability to develop AI accelerators that can operate independently of US-supplied components.
This comes at a time when Chinese tech firms are increasingly pressured to build self-reliant supply chains.
The potential IPO aligns with a broader trend of Chinese technology companies seeking liquidity and visibility in international markets.