XPeng’s robotics division has raised over $900 million in a single funding round, the largest private financing ever recorded in China’s embodied artificial intelligence industry, according to the company. The round values the unit at more than $6.3 billion on a post-money basis, with XPeng retaining controlling ownership while consolidating the business into its financial statements.
The financing was led by IDG Capital, with strategic investors including Gaorong Ventures, Tencent, and Alibaba participating. XPeng, which operates dual listings on the New York Stock Exchange (NYSE: XPEV) and the Hong Kong Stock Exchange (HKEX: 9868), will use proceeds to advance development of its IRON humanoid robot, expand physical AI models, and prepare mass production and commercial rollout.
The IRON robot is designed with 76 degrees of freedom across its body and 21 in each hand, powered by three Turing AI chips delivering up to 2,250 TOPS of computing performance. XPeng plans initial deployments at its own retail stores and campuses, with mass production targeted for the end of 2026 and commercial deliveries expected to begin in 2027 across China and overseas markets.
He Xiaopeng, Chairman and CEO of XPeng, stated that the funding enables the company to advance toward large-scale production and commercial deployment of advanced humanoid robots. XPeng describes itself as a Physical AI company with operations spanning smart electric vehicles, robotaxis, and humanoid robotics.
The round follows XPeng’s broader expansion into AI-driven mobility and robotics, reinforcing its positioning in China’s growing embodied AI ecosystem.
